A cocktail of global trade tensions and economic uncertainty seems to have kept investors on edge. Markets have been jittery, and that cautious mood spilled over into mutual fund flows.

Despite the dip in fresh investments, total equity Assets Under Management (AUM) actually grew, rising to Rs 29.45 lakh crore in March from Rs 27.39 lakh crore in February. Credit largely goes to Systematic Investment Plans (SIPs), which continued to hum along steadily, acting as the tortoise to the market’s hare.

SIP inflows fell marginally to Rs 25,926 crore during the month against Rs 25,999 crore received in February 2025.

Zooming out, the mutual fund industry’s total AUM reached Rs 65.74 lakh crore in March, up from Rs 64.53 lakh crore in February — yet another sign that the long-term money is still in the game.

Largecap fund inflows stood at Rs 2,479 crore for the month under review against Rs 2,866 crore in February 2025, registering a fall of 13.5% month-on-month. Midcap fund inflows, however, rose marginally to Rs 3,438.87 crore for the month against Rs 3,406.95 crore in February 2025, according to AMFI.

Meanwhile, debt mutual funds had a bit of a meltdown. Outflows skyrocketed to Rs 2.03 lakh crore in March, a sharp jump from February’s Rs 6,526 crore. The biggest hit came from liquid funds (Rs -1.33 lakh crore), as corporates and institutions pulled out cash ahead of the financial year-end.

The new fund offer (NFO) party was still on. March saw 30 new mutual fund launches, raising Rs 4,085 crore. Index funds led the pack, with 11 new schemes mopping up Rs 2,049 crore. Two low-duration funds also joined the fray, pulling in Rs 928 crore.