The Indian mutual fund (MF) industry stood at an AUM of Rs 74.40 lakh crore as of June 30, marking a more than sevenfold growth over the past decade. Equity commands the largest share at 59.94%, followed by debt at 26.53%, hybrid at 8.28%, and other categories accounting for 5.26%, according to a study by Motilal Oswal Mutual Fund.

Within equities, broad-based funds emerged as the dominant category, garnering Rs 86,000 crore in net inflows. This segment captured 64% of total equity flows, 55% from active funds and a notable 106% from passive funds, highlighting the growing allocation toward passive equity strategies.

Among active broad-based funds, flexicap led with Rs 15,800 crore, followed by smallcap at Rs 12,000 crore and midcap at Rs 10,800 crore. In the passive space, largecap funds remained the most allocated segment, reflecting a continued focus on blue-chip benchmarks.

A key development in the industry has been the steady rise of passive investing, which now accounts for approximately 17% of total AUM. While active funds continue to dominate in absolute terms, the growing share of passive strategies reflects broader adoption of low-cost, transparent, and benchmark-aligned approaches.