Gold, Silver ETFs Dominate January MF Flows as Equity Inflows Ease

India’s mutual fund flow trends shifted in January 2026, with gold and silver exchange-traded funds attracting higher inflows than equity schemes. Data released by the Association of Mutual Funds in India showed growing investor allocation toward precious metals amid recent price gains in gold and silver.

Gold and silver ETFs together recorded net inflows of ₹335.03 billion during the month, exceeding equity mutual fund inflows of ₹240.28 billion. Gold ETFs alone attracted ₹240.50 billion, nearly doubling from ₹116.47 billion in December. Silver ETFs received ₹94.63 billion, indicating rising investor participation beyond traditional gold exposure.

The increase in flows into precious metal ETFs coincided with a rise in gold and silver prices in recent months, driven by expectations of lower global interest rates, geopolitical uncertainty, and demand for portfolio diversification. These factors appear to have encouraged investors to increase allocations to exchange-traded products linked to metals.

Equity mutual fund inflows declined 14% month-on-month to ₹240.28 billion in January from ₹280.54 billion in December 2025. On a year-on-year basis, equity inflows fell 39% from ₹396.87 billion recorded in January 2025. Despite the moderation, equity schemes continued to see net positive inflows.

Across equity sub-categories, flexi-cap funds remained the largest recipient, drawing ₹76.72 billion in January. Mid-cap funds and large-and-mid-cap funds followed with inflows of ₹31.85 billion and ₹31.81 billion, respectively. Small-cap funds recorded inflows of ₹29.42 billion, while ELSS funds saw net outflows of ₹5.93 billion during the month.

On a month-on-month basis, large-cap funds and sectoral or thematic funds recorded increases of 28% and 10%, respectively. In contrast, mid-cap and small-cap funds saw declines of 24% and 23% in monthly inflows, indicating a degree of selectivity within equity allocations.

AMFI data shows, Debt-oriented mutual funds recorded net inflows of ₹748.27 billion in January, reversing two consecutive months of outflows. The category had seen combined outflows of ₹1.58 trillion in November and December 2025. On a year-on-year basis, however, debt fund inflows were 42% lower than ₹1.28 trillion reported in January last year.

Hybrid funds reported net inflows of ₹173.56 billion in January, a 61% increase from ₹107.55 billion in December. On a year-on-year basis, inflows nearly doubled from ₹87.67 billion.

Total inflows into open-ended schemes stood at ₹1.56 trillion in January, compared with an outflow of ₹665.32 billion in December. Total mutual fund assets under management rose 1% month-on-month to ₹80.76 trillion.

Systematic investment plan inflows remained above ₹310 billion for the second consecutive month. Monthly SIP contributions stood at ₹310.02 billion, up 17% from ₹264.00 billion in January 2025.