Gold Fuels Multi-Asset Fund Surge: AUM Tops ₹1.65 Trillion Amid Record Inflows
Overview
Multi-asset funds saw explosive growth in 2025, hitting ₹1.65 trillion in assets under management, a nearly 60% jump. Driven by a gold and silver rally and stable debt returns, these diversified funds attracted record inflows, signaling a shift towards core portfolio allocation for Indian investors.
Multi-Asset Funds Post Stellar Growth in 2025
Multi-asset funds emerged as a star performer in 2025, cementing their position as one of the fastest-growing mutual fund categories. The segment's assets under management (AUM) soared to ₹1.65 trillion, marking a substantial 60% increase from ₹1.03 trillion in the previous year. This growth trajectory is even more dramatic over a longer horizon, with AUM more than tripling since 2023.
Gold and Silver Drive Performance
The category's average return touched 17.4% in 2025, significantly outperforming equity markets during periods of struggle. This robust performance was largely buoyed by a strong rally in gold and silver prices, which benefited the commodity allocation within these funds. Stable returns from debt components and strategic equity investments also contributed to the overall positive outcome for investors.
Shift to Core Portfolio Allocation
Record net inflows totaling ₹47,056 crore in 2025, a 10% rise from 2024, underscore a deepening investor confidence. Experts suggest this sustained surge indicates a strategic reclassification of multi-asset funds from tactical bets to essential core portfolio holdings. "Multi-asset funds have cornered 30 per cent of hybrid fund inflows in 2025, reflecting a growing preference for diversified portfolios that combine equity, debt and commodities," noted Suranjana Borthakur, head of distribution and strategic alliances at Mirae Asset Investment Managers (India).
