Hybrid Funds Inflow Jump 163% YoY to ₹23,223 Crore, say ICRA

The recent analytics report by the ICRA (Investment Information and Credit Rating Agency) shares exciting news, "Hybrid Mutual Funds went a record breaking net inflows of Rs.23,223 crore in June 2025, resulting in 162.26% year-on-year inflows rise."

The ICRA analytics noted that this sudden rise was courtesy of Arbitrage Funds, which led to the hybrid funds with a total net inflows of Rs.15,585 crore.

Likewise, the Multi Asset Allocation Mutual Funds added Rs.3,210 crore worth of investment for the Hybrid segment. Also, the Balanced Advantage Funds (BAFs) brought in Rs.1,886 crore worth under the hybrid mutual funds.

This news brought an upward trend in India's Mutual Funds industry, increasing the total AUM (Asset Under Management) up to Rs . 74,41 lakh crore, rising from 13.2% from the previous quarter as recorded by the AMFI.

On the other hand, the equity mutual funds, a.k.a Equity-oriented funds, also stayed strong, standing net flows  at Rs . 23,587 crore, up to 24% which is much higher than May 2025.

Likewise, various other mutual fund categories saw an increase in inflows, such as:

In addition to this, the ICRA analytics also highlighted a strong rise in returns from benchmark indices supporting investors sentiments.

Did you know, "Nifty 50 TRI rose to 3.37% and Sensex TRI gained 2.98% in the June 2025?"

In June, Debt Mutual Funds saw some outflows, with Rs . 1,711 crore leaving the sector—much less than the Rs . 15,908 crore that left in May. However, short-duration, money market, and corporate bond funds attracted inflows of Rs . 10,277 crore, Rs . 9,484 crore, and Rs . 7,124 crore, respectively. Liquid funds, though, experienced outflows of Rs.25,196 crore due to quarter-end redemptions.

The real highlight was the continued rise of Systematic Investment Plans (SIPs). Monthly contributions hit a record Rs.27,269 crore and the number of active SIP accounts grew to 9.19 crore by the end of June.

Experts believe the mutual fund industry will keep growing, with strong SIP inflows and a more diverse group of investors. It’s clear that more people are turning to SIPs, driven by better financial understanding and easier access to digital investment platforms.