How flows and price moves influenced Aug-25 MF AUM?

16 Sep 2025 , 11:16 AM

AUM SHIFT – AUGUST 2025 MACRO STORY

What was the quality of AUM shift between July 2025 and August 2025? In this period; the AUM of open-ended funds tapered from ₹75.10 Trillion to ₹74.93 Trillion, on restrained flows and price depletion. AUM depletion between July and August 2025 was ₹ (17,174) Crore. In August 2025, open-ended funds saw restrained net inflows of ₹52,501 Crore, led by active equity funds, hybrid funds, and passive funds. Effectively, August 2025 saw price depletion impact of ₹ (69,676) Crore. Active equity funds, hybrid funds, and passive funds faced the brunt of equity value depletion; but also saw bulk of the inflows in August 2025.

ACTIVE DEBT FUNDS AUM SHIFT – AUGUST 2025

In August 2025, debt funds saw negative flows, but modest price accretion.

Active Debt Market Funds	Net Inflow in the Fund	AUM Closing Value	AUM Accretion	Price Accretion	Price Move Dominance
Long Duration Fund	-62.18	19,719.61	-540.53	-478.35	88.50%
Medium to Long Duration Fund	-27.89	11,520.33	-166.70	-138.81	83.27%
Ultra Short Duration Fund	373.52	1,36,833.54	965.32	591.80	61.31%
Low Duration Fund	476.80	1,42,933.65	948.03	471.23	49.71%
Dynamic Bond Fund	-394.66	36,424.16	-749.89	-355.23	47.37%
Gilt Fund	-928.42	40,089.97	-1,699.59	-771.17	45.37%
Money Market Fund	2,210.53	3,40,867.69	3,706.50	1,495.98	40.36%
Corporate Bond Fund	-825.00	2,04,712.23	-1,179.12	-354.13	30.03%
Overnight Fund	4,950.84	86,296.88	5,461.64	510.80	9.35%
Banking and PSU Fund	-800.45	81,161.20	-880.43	-79.98	9.08%
Short Duration Fund	565.26	1,36,582.75	562.16	-3.10	-0.55%
Credit Risk Fund	-243.57	20,028.43	-200.99	42.58	-21.19%
Liquid Fund	-13,350.06	5,31,546.83	-10,677.89	2,672.17	-25.03%
Medium Duration Fund	111.97	25,590.07	76.69	-35.28	-46.00%
Gilt Fund 10-Y Duration	168.17	4,934.73	112.93	-55.24	-48.91%
Floater Fund	-204.72	52,030.55	-131.41	73.30	-55.78%
Active Debt Funds	-7,979.84	18,71,272.61	-4,393.27	3,586.57	-81.64%

Data source: AMFI (absolute figures are ₹ in Crore)

For the month of August 2025, active debt funds saw overall price accretion, but that was more due to the positive price accretion in liquid funds, money market funds, and overnight funds at the short end of the yield curve. Overall, net AUM depletion of active debt funds in August 2025 stood at ₹ (4,393) Crore. This was composed of ₹ (7,980) Crore of net outflows, helped along by positive price contribution of ₹3,587 Crore. The positive impact at the short end was ahead of the CRR cut going effective.

ACTIVE EQUITY FUNDS AUM SHIFT – AUGUST 2025

August 2025 equity fund flows were robust, but more than offset by price depletion.

Active Equity Market Funds	Net Inflow in the Fund	AUM Closing Value	AUM Accretion	Price Accretion	Price Move Dominance
Multi Cap Fund	3,193.05	2,05,141.48	-140.40	-3,333.46	2374.18%
Mid Cap Fund	5,330.62	4,26,623.48	-1,959.02	-7,289.64	372.11%
Large & Mid Cap Fund	3,325.66	2,99,335.05	-1,637.07	-4,962.72	303.15%
Focused Fund	1,155.18	1,59,952.07	-615.11	-1,770.28	287.80%
Large Cap Fund	2,834.88	3,89,982.59	-1,780.14	-4,615.02	259.25%
Sectoral/Thematic Funds	3,893.16	5,06,571.70	-2,947.51	-6,840.67	232.08%
Small Cap Fund	4,992.91	3,50,555.21	-5,346.62	-10,339.53	193.38%
Value Fund/Contra Fund	1,141.03	1,98,969.56	-2,234.23	-3,375.26	151.07%
ELSS	59.15	2,43,981.86	-4,220.66	-4,279.82	101.40%
Dividend Yield Fund	-174.69	31,985.92	-572.66	-397.97	69.50%
Flexi Cap Fund	7,679.40	4,95,445.68	2,216.21	-5,463.20	-246.51%
Active Equity Funds	33,430.37	33,08,544.61	-19,237.21	-52,667.58	273.78%

Data source: AMFI (absolute figures are ₹ in Crore)

The categories that saw sharpest price depletion in August 2025 were Small Cap Funds, Mid-Cap Funds, and Sectoral funds. They were also the cases where prices really dominated despite positive flows. Overall, net AUM depletion of active equity funds in August 2025 stood at ₹ (19,237) Crore. This comprised of ₹33,430 Crore of net inflows into equity funds, offset by price depletion impact of ₹ (52,668) Crore.

HYBRID FUNDS AUM SHIFT – AUGUST 2025

In August 2025, hybrid fund saw robust inflows, partially offset by equity price depletion.

Hybrid and Solution Funds	Net Inflow in the Fund	AUM Closing Value	AUM Accretion	Price Accretion	Price Move Dominance
Dynamic Asset Allocation/BAF	2,316.48	3,04,727.50	-359.06	-2,675.54	745.16%
Aggressive Hybrid Fund	1,870.40	2,36,817.91	-1,151.30	-3,021.70	262.46%
Children’s Fund	185.64	23,924.58	-213.83	-399.47	186.81%
Retirement Fund	134.47	31,058.44	-357.31	-491.78	137.63%
Conservative Hybrid Fund	43.62	29,268.18	-152.86	-196.48	128.53%
Multi Asset Allocation Fund	3,527.91	1,32,103.62	3,676.88	148.97	4.05%
Equity Savings Fund	868.79	46,236.23	508.74	-360.05	-70.77%
Arbitrage Fund	6,666.50	2,58,923.35	2,247.85	-4,418.65	-196.57%
Hybrid Allocation Funds	15,613.81	10,63,059.79	4,199.10	-11,414.70	-271.84%

Data source: AMFI (absolute figures are ₹ in Crore)

The impact of price depletion was the maximum in Arbitrage Funds, Aggressive Hybrid Funds, and Dynamic Allocation Funds (BAF). This was due to combination of modest flows and strong equity exposure. The price impact as a ratio of the flows was most pronounced in BAFs and Aggressive Hybrid Funds. Overall, net AUM of hybrid funds in August 2025 saw accretion of ₹4,199 Crore. This comprised of ₹15,614 Crore net inflows into hybrid funds, offset by price depletion of ₹ (11,415) Crore.

PASSIVE FUNDS AUM SHIFT – AUGUST 2025

In August 2025, passive funds saw better traction in flows but strong price depletion.

Index and Passive Funds	Net Inflow in the Fund	AUM Closing Value	AUM Accretion	Price Accretion	Price Move Dominance
Other ETFs	7,244.11	8,42,201.47	-2,200.51	-9,444.63	429.20%
Index Funds	1,502.57	3,04,234.99	-1,594.47	-3,097.04	194.24%
Fund of funds investing overseas	500.60	31,358.49	1,190.84	690.24	57.96%
GOLD ETF	2,189.51	72,495.60	4,861.08	2,671.57	54.96%
Passive Funds	11,436.80	12,50,290.55	2,256.94	-9,179.86	-406.74%

Data source: AMFI (absolute figures are ₹ in Crore)

Overall, the net AUM accretion of passive funds in August 2025 stood at ₹2,257 Crore. This comprised of ₹11,437 Crore of net inflows into passive funds, offset by negative price impact of ₹ (9,180) Crore. Bulk of the price depletion in absolute terms came from index ETFs, followed by index funds. Interestingly, Gold Funds and Overseas FOFs are the 2 categories that had a positive flow and price contribution in August, largely because both these asset classes have a negative correlation with Indian equities!