MF Folios Cross 25.86 Crore: Why Debt, Hybrid & Passive Funds Are Stealing the Show
India added 26.11 lakh mutual fund folios in November 2025, taking the total to 25.86 crore. But the real story isn’t equity — it’s debt, hybrid allocation and passive strategies quietly gaining ground.
WHAT DOES THE FOLIO GROWTH TELL US?
Unlike the AUM growth which is more about size and market performance, folio growth is about new customers coming in. For instance, while there are 25.86 Crore MF folios in India (after the clean-up), there are only 5.7 crore unique PAN numbers mapped to mutual funds. Folios are not about unique individuals, but they are unique to an AMC; which means a person with funds across 4 AMCs would have 4 folio numbers. Despite this shortcoming, the folios are a much better barometer of retail participation.
MACRO PICTURE – HOW FOLIOS GREW OVERALL
Here is a quick macro picture of how folios have grown across broad categories of funds
| Fund Category | Folios (Nov-25) | Folios (Oct-25) | Folios Growth (MOM) |
|---|---|---|---|
| Debt Funds | 79,26,150 | 77,80,606 | 1.87% |
| Equity Funds | 17,76,36,018 | 17,61,33,138 | 0.85% |
| Hybrid Funds | 2,36,96,665 | 2,34,20,437 | 1.18% |
| Passive Funds | 4,88,64,429 | 4,81,73,565 | 1.43% |
| Open Ended Funds | 25,81,23,262 | 25,55,07,746 | 1.02% |
| Close-Ended Funds | 4,91,058 | 4,96,069 | -1.01% |
| Grand Total Folios | 25,86,14,320 | 25,60,03,815 | 1.02% |
Data Source: AMFI
Clearly, the overall growth in mutual fund folios has been driven by open ended funds; with close-ended funds seeing folio depletion once again. Within the fund categories, the debt showed the best traction in MOM folio accretion, followed by passive funds, hybrid funds, and equity funds in that order. The folio growth in November tapered 60 bps to 1.02%.**
HOW DEBT FUNDS GREW FOLIOS IN NOVEMBER 2025
Here is a quick look at how debt fund folios moved between October and November 2025.
| Debt Funds | Folios (Nov-25) | Folios (Oct-25) | Folios Growth (MOM) |
|---|---|---|---|
| Liquid Fund | 23,77,756 | 22,78,013 | 4.38% |
| Short Duration Fund | 5,53,771 | 5,39,194 | 2.70% |
| Ultra Short Duration Fund | 7,63,342 | 7,44,239 | 2.57% |
| Money Market Fund | 5,24,263 | 5,18,211 | 1.17% |
| Medium Duration Fund | 2,39,520 | 2,36,962 | 1.08% |
Data Source: AMFI
Momentum of folios growth is visible at the short end of the duration curve like liquid funds, short duration funds, ultra short duration funds, and money market funds. This shows rising demand among retail and HNI investors to park funds in debt-oriented short-term funds ahead of big liquidity infusion. MOM folio growth for debt funds segment was at 1.87%; sharply higher compared to 0.55% in October.
HOW EQUITY FUNDS GREW FOLIOS IN NOVEMBER 2025
Here is how the equity fund folios moved between October and November 2025.
| Equity Funds | Folios (Nov-25) | Folios (Oct-25) | Folios Growth (MOM) |
|---|---|---|---|
| Flexi Cap Fund | 2,16,35,346 | 2,11,82,395 | 2.14% |
| Multi Cap Fund | 1,10,66,021 | 1,09,12,552 | 1.41% |
| Large & Mid Cap Fund | 1,31,65,462 | 1,29,89,734 | 1.35% |
| Mid Cap Fund | 2,38,15,587 | 2,35,35,313 | 1.19% |
| Small Cap Fund | 2,72,63,667 | 2,70,17,320 | 0.91% |
Data Source: AMFI
Flexi Cap funds, Multi-Cap Funds, and Large & Mid Cap funds (diversification story) led folio growth with 0.85% growth MOM; compared to 2.0% last month. The real folio accretion is happening in the allocation via diversification funds, with alpha funds also in the reckoning.
HOW HYBRID ALLOCATION FUNDS GREW FOLIOS IN NOVEMBER 2025
Here is how the hybrid fund folios moved between October and November 2025.
| Hybrid Funds | Folios (Nov-25) | Folios (Oct-25) | Folios Growth (MOM) |
|---|---|---|---|
| Multi Asset Allocation Fund | 40,16,236 | 38,61,455 | 4.01% |
| Arbitrage Fund | 7,18,209 | 7,05,317 | 1.83% |
| Equity Savings Fund | 5,21,328 | 5,17,166 | 0.80% |
| Aggressive Hybrid Fund | 60,89,957 | 60,44,444 | 0.75% |
| Dynamic Asset Allocation/BAF | 55,65,740 | 55,30,506 | 0.64% |
Data Source: AMFI
Hybrid funds saw 1.18% growth in November 2025; largely focused on allocation as a theme. The exceptions are arbitrage funds and Aggressive Hybrids. However, the real theme appears to be allocation across asset classes for best risk-adjusted returns. That is captured by MAAF, Equity Savings Funds, and BAFs.
HOW PASSIVE FUNDS GREW FOLIOS IN NOVEMBER 2025
Here is a look at how passive fund folios moved between September 2025 and November 2025.
| Passive Funds | Folios (Nov-25) | Folios (Oct-25) | Folios Growth (MOM) |
|---|---|---|---|
| FOFs investing overseas | 16,12,175 | 15,58,989 | 3.41% |
| GOLD ETF | 97,84,310 | 95,75,399 | 2.18% |
| Other ETFs | 2,31,29,290 | 2,28,59,737 | 1.18% |
| Index Funds | 1,43,38,654 | 1,41,79,440 | 1.12% |
Data Source: AMFI
As a category, passive funds robust folio growth MOM of 1.43%. FOFs investing overseas led the passive folio hunt at 3.41%, but on a relatively small base. Gold ETF folios also surged by 2.18% in the month as retail continue to rush to gold. Index funds and index ETFs were quiet, but have already done a good job.
Folio growth in November has lacked the sting after folio growth fell from 40 lakhs to 26 lakhs. The traction has come largely from debt funds, even as hybrids and passives have dominated active equity funds in terms of folio growth.
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