AUM Rises, SIPs Hit Record High
April 2025 Shines for Mutual Fund Industry
April 2025 marked a significant leap forward for India’s Mutual Fund (MF) industry, demonstrating the growing confidence and participation of retail investors across the country. With encouraging growth across investor participation, SIP inflows, asset expansion, and distributor activity, this month stands out as a beacon of resilience and optimism in India’s financial journey.
Investor Inclusion: 3 Lakh New Voices in the Market
In a robust signal of financial inclusion, the MF industry welcomed 3 lakh new unique investors in April, pushing the total investor base from 5.42 crore in March to 5.45 crore. This continued expansion reflects a deeper penetration of mutual funds as a preferred investment vehicle, especially among first-time investors.
The number of folios, a reflection of investor engagement and diversification, also witnessed an impressive jump. With 18 lakh new folios added during the month, the industry’s total folio count surged to 23.63 crore, underscoring the rising breadth of retail participation.
SIPs: A Rising Tide of Disciplined Investing
Systematic Investment Plans (SIPs) continued to be the cornerstone of India’s retail investing strategy. The industry recorded a remarkable 46 lakh new SIP registrations in April, up from 40.2 lakh in March. Monthly SIP contributions also saw a healthy rise from ₹25,900 crore to ₹26,600 crore.
The SIP Assets Under Management (AUM) rose by 4%, from ₹13.35 lakh crore to ₹13.90 lakh crore. Notably, equity-oriented schemes made up 86% of SIP AUM, totaling ₹12 lakh crore—highlighting the retail investor’s long-term faith in India’s equity markets. The number of active SIP accounts now stands at a robust 8.38 crore.
T30 & B30 Cities: Tiered Growth, Unified Progress
The industry’s expansion wasn’t limited to metro cities. Tier 30 (T30) and Beyond 30 (B30) cities have shown balanced and meaningful growth in folio counts and AUM.
T30 Folios grew by 0.65%, reaching 12.33 crore.
B30 Folios saw a near 1% jump, rising to 11.30 crore.
Notably, folio addition in B30 was evenly split—5 lakh each through direct and distributor-led modes.
Of the 18 lakh folios added, 10 lakh came via distributors, reaffirming their integral role in investor education and onboarding.
On the asset side, T30 AUM grew by 7% to ₹56.84 lakh crore, while B30 AUM rose by 5% to ₹13.16 lakh crore. This dual-engine growth suggests a maturing investor base both in metropolitan and non-metro areas.
Ticket Size Trends: Growing Confidence, Bigger Investments
Investor ticket sizes have grown across the board:
T30 average AUM per folio increased to ₹2.58 lakh from ₹2.50 lakh.
B30 average AUM crossed the ₹1 lakh mark, up from ₹97,000.
Overall retail average rose from ₹1.77 lakh to ₹1.82 lakh—an encouraging sign of increasing investor confidence and capacity.
NFO Activity: A Diverse Palette of Offerings
The industry launched 7 New Fund Offers (NFOs) in April, showcasing a mix of passive and active strategies:
4 were passive funds: 2 index and 2 non-commodity ETFs.
Equity saw a thematic/sectoral NFO.
Hybrid segment introduced a new arbitrage fund.
Debt space saw the launch of an overnight fund.
These launches reflect the MF industry’s adaptability to diverse investor needs, offering both cost-effective passive options and innovative active strategies.
Distribution Dynamics: Strengthening the Last Mile
ARN (AMFI Registration Number) data for April reveals the expanding footprint of Mutual Fund Distributors (MFDs):
4,596 new ARN registrations, with 1,948 from individual MFDs.
Maharashtra led with 22.5% of new registrations, followed by Gujarat (11.5%), Uttar Pradesh (8.6%), Karnataka (5.8%), and West Bengal (5.7%).
ARN renewals also reflected strong continuity and growth with 7,220 renewals—ensuring a steady pool of experienced advisors.
Conclusion: A Month to Remember
April 2025 has been more than just a good month—it has been a defining chapter in the evolution of India’s mutual fund ecosystem. From the surge in retail investor participation to rising SIP commitments and geographic diversification, the industry is clearly moving toward greater inclusivity, awareness, and financial maturity.
As we look forward, the message is clear: India’s mutual fund growth story is not just intact—it is accelerating.
