AMFI May 2026 Data: Equity MF inflows fall 40%

What AMFI’s May 2026 numbers signal

Equity mutual fund inflows moderated sharply in May 2026, extending a three-month declining streak. Data released by the Association of Mutual Funds in India (AMFI) showed net inflows into equity schemes fell 40.40% month-on-month to ₹22,907.77 crore, compared with ₹38,440.20 crore in April. Despite the slowdown, equity schemes still remained in net inflow territory.

The bigger swing came from debt-oriented schemes, where large redemptions pushed overall industry flows into the red. As a result, the mutual fund industry posted a net outflow of ₹64,021.17 crore in May, with another reported estimate placing it at ₹64,131 crore. The May dataset also showed investors turning cautious on some passive and commodity-linked products, with Gold ETFs recording their first monthly net outflow in over a year.

Equity mutual fund inflows drop to the lowest in 2026

AMFI data showed equity scheme inflows of ₹22,907.77 crore in May, the lowest monthly figure recorded so far in 2026. The decline came after April’s stronger inflow of ₹38,440.20 crore. Another data point in the release noted that May’s number marked the lowest monthly inflow since May 2025, when equity schemes received ₹19,013 crore.

Even with the month-on-month fall, one summary of the data noted equity inflows were still 20% higher year-on-year. This combination of slower monthly momentum but higher annual comparison suggests investors continued systematic allocation to equities, while lump-sum activity may have cooled.

Sub-category cues: flexi-cap led, small-cap stayed strong

Within equity categories, flexi-cap funds were highlighted as the leading sub-category, with ₹5,175 crore of net inflows in May. Small-cap funds were also cited as receiving nearly ₹5,000 crore in fresh inflows.

These sub-category numbers matter because they show where incremental risk appetite remains concentrated. Even as headline equity inflows softened, flows into diversified and higher-beta segments did not disappear, indicating participation continued but with shifting preferences.

Debt funds reverse sharply, pulling total industry flows negative

Debt mutual funds recorded net outflows of ₹96,948.51 crore in May, reversing the strong ₹247,490.03 crore inflows seen in April. The reversal was described as being driven largely by liquid funds, money market funds and overnight funds, which together saw outflows of nearly ₹70,000 crore.

The scale of debt redemptions dominated the monthly industry picture and outweighed equity inflows. AMFI’s dataset also showed the total AUM of the debt category fell 4.65% month-on-month to ₹1,825,037.17 crore.

Gold ETFs snap a 13-month inflow streak

Gold exchange-traded funds moved into net outflow territory in May, recording net outflows of ₹725.04 crore versus net inflows of ₹3,040.31 crore in April. The outflow was described as the first monthly outflow in 13 months, ending a streak of positive flows that had run since April 2025.

Flow details for Gold ETFs also showed gross inflows nearly halved to ₹2,604 crore in May from ₹5,093 crore in April, while redemptions increased to ₹3,329 crore from ₹2,053 crore. Even with net outflows, Gold ETF assets under management rose to ₹185,000 crore in May from ₹178,000 crore in April, attributed to gains in gold prices.

Other schemes and ETFs: a sharp cooling from April

The AMFI dataset also pointed to a cooling in “other schemes”, which include ETFs and index-linked products. This bucket saw inflows of ₹362 crore in May, sharply lower than ₹20,082 crore in April and ₹30,768 crore in March.

Separately, “other ETFs” were cited as recording an outflow of ₹620 crore in May, compared with an inflow of over ₹10,700 crore in the previous month. Taken together, these numbers show a broad-based moderation in passive product flows compared to the surge seen earlier.

Silver ETFs remained under pressure

Silver ETFs were reported to have seen outflows for four straight months in India. One data point in the information set showed outflows in silver rose to ₹2,133 crore in May compared with ₹127 crore in the previous month.

With both gold and silver products seeing weaker demand trends in May, the month stood out from the prior period when commodity-linked flows were stronger.

Industry AUM: marginal dip reported

On the assets side, the industry’s total AUM was described as shrinking marginally to ₹8,158,000 crore. Another summary in the information set pegged total AUM at ₹8,138,000 crore in May, down from ₹8,171,000 crore in April.

While the AUM figures differ across summaries, both indicate only a modest month-on-month change in total assets, even as monthly net flows turned negative due to debt redemptions.

Key numbers at a glance

Market impact: what changed in May

The May pattern shows a clear shift from April’s strong risk-on positioning, particularly in debt and passive products, toward higher redemptions and lower incremental allocations. The debt category’s large outflows were the decisive factor behind the industry’s net outflow for the month.

For equity funds, inflows continued but at a slower pace, suggesting participation remained intact while the pace of fresh allocations moderated. The information set also linked weaker sentiment to stock market volatility, geopolitical uncertainty, and ongoing foreign portfolio outflows.

Why the May print matters

May’s AMFI data highlights how quickly the industry’s flow picture can turn when short-duration debt categories see large redemptions. It also shows that equity inflows can remain positive even in a month when the overall industry prints net outflows, because the drivers by asset class can diverge.

The Gold ETF reversal is notable because it ended a long run of steady inflows since April 2025. At the same time, AUM growth in Gold ETFs despite net outflows underlines that market prices can offset flow weakness in commodity-linked products.

Conclusion

AMFI’s May 2026 data shows equity mutual fund inflows fell sharply to ₹22,907.77 crore, while debt schemes saw a major swing to outflows of ₹96,948.51 crore, pushing overall industry flows into negative territory. Gold ETFs also turned negative with outflows of ₹725.04 crore, ending a 13-month inflow streak. Investors are likely to track subsequent AMFI releases for whether debt flows stabilise and whether equity inflows recover from the lowest monthly level seen so far in 2026.