Mutual Fund Momentum: A Record Surge in Investment

The mutual fund industry saw unprecedented growth in 2024, with assets increasing by Rs 17 lakh crore, driven by buoyant equity markets and rising investor participation. Experts expect the trend to continue into 2025, as retail and institutional interest in diverse funds remain strong, highlighting sector resilience.

The mutual fund industry has reached new heights in 2024, achieving a remarkable Rs 17 lakh crore surge in assets. This growth, attributed to thriving equity markets and expanding economic conditions, shows no signs of slowing, experts predicting sustained momentum into 2025.

Industry leaders, including Morningstar Investment Research India, emphasize the role of retail investors and Systematic Investment Plans (SIPs) in driving this trend. Net inflows reached Rs 9.14 lakh crore, impressively boosting the assets under management (AUM) to an all-time high of Rs 68 lakh crore by November.

Notable growth is evident across equity, hybrid, and debt schemes, alongside a rising investor base. Regulatory measures and shifts in savings patterns underscore the structural changes supporting continued expansion. The mutual fund sector's trajectory remains upward, highlighted by increased investment in sectoral, thematic, and gold funds among retail investors.

(With inputs from agencies.)