Equity Mutual Fund Inflows Surge To Four-Month High, August Investments Climb To ₹29,329 Crore
· Free Press Journal

New Delhi: Equity mutual fund schemes attracted ₹29,329 crore in August 2026, their highest monthly net inflow in four months, as investors continued to favour mid-cap and small-cap funds despite volatility in the broader equity market.
The latest Association of Mutual Funds in India (AMFI) data showed equity inflows increased nearly 19% from ₹24,697 crore recorded in July.
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August marked the strongest monthly inflow into equity-oriented schemes since April, when investors poured ₹38,440 crore into the category.
Small-Cap, Mid-Cap Funds Lead
Small-cap mutual funds remained the biggest draw, attracting ₹7,973 crore in net inflows during August.
Mid-cap funds followed closely with net investments of ₹6,989 crore, indicating sustained investor appetite for companies beyond the large-cap segment.
Mutual Funds Seek Fair-Value Pricing For Equity Futures To Curb Arbitrage Fund NAV SwingsLarge-cap funds, however, moved against the broader equity trend and recorded net outflows of ₹1,147 crore during the month.
Equity schemes had received ₹28,973 crore in June and ₹22,908 crore in May.
Overall MF Inflows Drop Sharply
While equity funds gained momentum, overall mutual fund industry net inflows dropped sharply to ₹41,353 crore in August, compared with ₹2.36 lakh crore in July.
The decline was largely driven by debt-oriented schemes, which recorded a net outflow of ₹8,127 crore, reversing the substantial ₹1.88 lakh crore inflow seen in July.
Equity Mutual Fund Inflows Fall 15% To ₹24,697 Crore In July, Small-Cap Funds Hit Record HighDespite weaker overall flows, the mutual fund industry's assets under management (AUM) increased to ₹87.07 lakh crore at the end of August from ₹85.75 lakh crore in July.
Gold ETFs Attract More Money
Investor interest in Gold ETFs also strengthened. The category attracted ₹2,597 crore during August, significantly higher than the ₹1,559 crore recorded in July.
The latest flows indicate that investors continued allocating money towards equity and gold even as debt schemes experienced withdrawals.