Confidence returns to equity mutual funds; Inflows jump 24 per cent in June, breaking 5-month decline

The Association of Mutual Funds in India (AMFI) released the latest data on mutual fund investing in the country on Wednesday, revealing a surge in net inflows for June 2025.

According to AMFI, the net inflow into equity mutual funds soared by 24 per cent, hitting a staggering ₹23,587 crore in June, effectively reversing the downward trend of the past five months.

While June marked the 52nd consecutive month of net inflows, the past five months saw a steady decline in the number—₹19,013 crore in May, ₹24,269 crore in April, ₹25,082 crore in March, ₹29,303 crore in February, ₹39,688 crore in January 2025, and ₹41,156 crore in December 2024.

June saw the end of this trend, with the first jump in monthly net equity inflows in the calendar year 2025. The last such jump was from November 2024 (₹35,943 crore) to December 2024.

Earlier this week, on Monday, market regulator Sebi said it was mulling relaxing restrictions on mutual-funds-based business activities.

The Securities and Exchange Board of India (Sebi) aims to enable asset management companies (AMCs) to offer additional services related to fund management, such as acting as Points of Presence (POPs) for pension schemes or serving as global distributors for funds they manage.

This is a far cry from current regulations, which only allow AMCs and their units to provide services related to the management and advisory aspects of pooled funds. If they become POPs for pension funds, such entities may be permitted to act as pension fund managers.

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