Tax change, gold rally power FoF AUM past Rs 1 trillion in April

Fund of funds cross ₹1 trillion AUM in April 2025 for the first time, driven by tax reforms, gold's stellar returns, and launch of several new mutual fund offerings

The assets under management (AUM) of domestic fund of funds (FoFs) crossed the ₹1 trillion mark for the first time in April, as the category witnessed renewed interest following the taxation changes announced in Budget 2024.

 

The broader category, which includes offerings across equity, debt and commodities, registered net inflows of over ₹11,300 crore during the 12-month period ending April 2025. This is in stark contrast to the net outflow of ₹2,446 crore recorded in the previous one-year period. 

 

Fund of funds invest the corpus in one or multiple mutual fund (MF) schemes. Currently, there are 96