cautious
Recently
India’s sectoral & thematic mutual-fund inflows plunge 69% in September, signalling investor caution
Investor flows into India’s sectoral & thematic funds plunged 69% in September to ₹1,220 crore, as redemptions spiked and valuations remained high.
In September 2025, inflows into India’s sectoral and thematic mutual-fund schemes dropped to just ₹1,220 crore — a decline of around 69 per cent month-on-month, versus ₹3,893 crore in August. The contraction is attributed to profit-booking, redemption pressures and elevated valuations in niche funds. Although overall mutual-fund mobilisations for the month stood at around ₹11,167 crore, redemptions surged by 41 per cent to about ₹9,947 crore, suggesting repositioning. Analysts suggest this could indicate a near-term shift toward core categories and away from high-volatility themes.