Indian Equity Fund Inflows Reach Eight Month High in March

Equity mutual fund inflows in India surged to an eight-month peak in March, driven by strong retail interest and record-breaking contributions through systematic investment plans. According to the latest data from the Association of Mutual Funds in India, total inflows reached 404.5 billion rupees, marking a 56% increase compared to the previous month. The surge was particularly pronounced in the small-cap segment, where inflows rose 61% to 62.64 billion rupees. Mid-cap funds also reached a historic milestone, with inflows jumping to a record 60.64 billion rupees. Large-cap funds followed the upward trend, recording a 42% month-on-month increase to reach 29.98 billion rupees. A significant driver of this growth remains the consistent participation of retail investors. Systematic investment plan (SIP) contributions climbed 7.5% to hit a record high of 320.87 billion rupees during the month. Based on the current exchange rate for USD/INR, which stands at approximately 92.6820, the total equity inflows for March represent roughly $4.36 billion.