Debt mutual funds saw net outflows of ₹6,525.56 crore in February 2025, reversing the strong inflows of ₹1,28,652.58 crore recorded in January. The shift was primarily driven by redemptions in short-duration funds, while liquid funds attracted the highest inflows.
Among the outflows, ultra-short duration funds saw the highest redemptions at ₹4,281.02 crore, followed by overnight and low-duration funds, which together recorded outflows of ₹2,263.94 crore. Money market funds also witnessed minor redemptions of ₹275.96 crore.
Despite the overall outflows, some categories performed well. Liquid funds led the inflows with ₹4,976.97 crore, while corporate bond funds and short-duration funds saw inflows of ₹1,064.83 crore and ₹473.53 crore, respectively.
In February 2025, income/debt-oriented schemes saw a total fund mobilisation of ₹353 crore across both open-ended and close-ended categories. The money market fund segment, with one open-ended scheme, accounted for ₹281 crore in inflows. Additionally, a single fixed-term plan under the close-ended category attracted ₹72 crore.
New Fund Offers (NFOs) collected ₹4,029 crore in February, slightly lower than ₹4,544 crore in January. Gold ETFs also saw inflows of ₹1,980 crore, a decline from ₹3,751.4 crore in the previous month. Sectoral and thematic funds, which remained popular among investors, recorded inflows of ₹5,711.6 crore, down from ₹9,016.6 crore in January.
The debt mutual fund segment witnessed significant outflows in February 2025, reversing the strong inflows from January. Market sentiment remains mixed, with inflows in select categories balancing the overall decline.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.
Published on: Mar 13, 2025, 1:39 PM IST
Nikitha Devi
Nikitha is a content creator with 6+ years of experience in the financial domain. Specialising in personal finance, investments, and market insights, Nikitha simplifies complex financial topics, making them accessible to readers.
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