Speaking to ET Now, Bakshi said the apparent spike in December SIP numbers was partly due to spillover from November, when month-end holidays pushed registrations into the following month.
“The November numbers saw a dip because holidays fell on the 29th and 30th. Those flows got captured in December, which is why the growth looks higher. Overall, SIP growth is broadly in line with expectations,” he said.
SIP momentum reflects financialisation of savings
Bakshi highlighted that SIP inflows have risen steadily from around ₹26,000 crore at the start of the financial year to about ₹31,000 crore now, underscoring the growing financialisation of household savings in India.
“Investors have seen the benefits of SIPs, especially during volatile markets. When markets correct, SIP investors accumulate more units instead of reacting emotionally. This behaviour is reinforcing long-term wealth creation,” he said, adding that SIP flows are likely to scale further as more investors enter mutual funds.
Equity inflows tilt towards flexicap funds
Total equity mutual fund inflows for the month stood at around ₹28,000 crore. Within this, flexicap funds emerged as the biggest beneficiary, attracting nearly ₹10,000 crore, reflecting a shift away from mid- and small-cap volatility.
“Largecaps have outperformed mid and smallcaps this year, and most fund houses have been advising investors to stay tilted towards relatively stable allocations. That is clearly visible in the flexicap inflows,” Bakshi said.Midcap funds saw inflows of about ₹4,000 crore, while large-and-midcap funds attracted a similar amount. Smallcap fund inflows slowed to around ₹3,800 crore, as investors remained cautious amid higher volatility in the segment.
Multi-asset and gold funds shine
Bakshi noted strong investor interest in multi-asset allocation funds, which invest across equity, debt and commodities. These funds recorded year-high inflows of about ₹7,500 crore during the month.
“Gold and silver have performed very well this financial year, and multi-asset funds have outperformed many categories over the last six to twelve months. Investors are increasingly using these funds to gain commodity exposure within a diversified framework,” he said.
Gold funds and gold ETFs also witnessed rising interest, with consistent unit creation reflecting growing demand for precious metals as part of portfolios.
NFO momentum slows in 2026
On new fund offers (NFOs), Bakshi said the pace has moderated compared to last year, when record inflows were driven by new fund houses launching schemes to complete SEBI-mandated categories.
“Most large fund houses have already launched schemes across permitted categories. Last year saw a surge in sectoral and thematic NFOs, but this year the momentum is slower as thematic ideas are attracting less interest,” he said.
Overall, Bakshi expects SIP-led investing and diversified fund categories to remain the key drivers of mutual fund inflows in 2026, even as investors adopt a more measured and risk-aware approach.