Wednesday, December 17, 2025 | 03:04 PM ISTहिंदी में पढें
Business Standard
Notification Icon
userprofile IconSearch

The silent reflex: In market quakes, mutual funds are the fault dampers

Steady capital flows prevent ruptures on volatile fault lines

Markets
premium

So far in 2025, MFs have injected ₹2.8 trillion into equities. During the seven months in 2024, total buying stood at ₹2.2 trillion.

Abhishek Kumar Mumbai

Listen to This Article

Mutual fund (MF) investment in equities has stayed consistent, even as global trade developments stirred market volatility.
 
In July 2025, MFs purchased equities worth over ₹47,000 crore — an 8 per cent increase from the previous month’s figure.
 
This buying softened the blow to the market as foreign portfolio investors offloaded nearly ₹20,000 crore.
 
July saw turbulence in the equity market, with benchmark indices snapping a four-month winning streak that had pushed gains to nearly 15 per cent. Both the Nifty and Sensex closed the month down roughly 3 per cent. The broader Nifty Smallcap 100 and Nifty Midcap 100