Gold, Silver ETF Inflow Pips Equity MF Schemes

Why It Matters

The shift signals investors seeking safety in precious metals, pressuring equity fund inflows and reshaping Indian mutual‑fund allocation trends.

Key Takeaways

• Gold ETF inflows hit ₹24,040 crore
• Silver ETF inflows reach ₹9,463 crore
• Equity scheme inflows drop to ₹24,029 crore
• Equity AUM falls 2% amid volatility
• US debt, industrial demand drive metal investments

Pulse Analysis

India’s mutual‑fund ecosystem is witnessing a rare reallocation as investors pour record capital into gold and silver exchange‑traded funds. The February surge—₹24,040 crore for gold and ₹9,463 crore for silver—reflects a broader macro backdrop of lingering US fiscal deficits, low‑interest‑rate environments, and inflation‑hedging motives. Precious‑metal ETFs, traditionally a niche, now command a larger share of passive assets, lifting total AUM by six percent to ₹15.41 lakh crore, and underscoring a growing appetite for tangible stores of value amid global uncertainty.

The inflow reversal has immediate consequences for equity‑focused fund houses. Equity scheme contributions slipped to ₹24,029 crore, down from December’s ₹28,054 crore, while overall equity AUM contracted 2 percent due to mark‑to‑market losses triggered by volatile market swings and a sharp foreign portfolio outflow. Asset managers are reassessing product mix, emphasizing defensive strategies, and exploring hybrid offerings that blend equity exposure with metal‑linked hedges. This trend also pressures distribution channels to recalibrate sales incentives toward safer, fee‑generating products.

Looking ahead, the durability of metal‑centric inflows hinges on several variables: sustained US debt levels, central‑bank gold purchases, and the industrial demand‑supply gap for silver. Should geopolitical tensions or inflationary pressures intensify, the premium on gold could deepen, further diverting capital from equities. Conversely, a resolution to trade disputes or a rally in corporate earnings could revive equity confidence. Investors and fund sponsors alike must monitor policy cues and market sentiment to balance growth ambitions with risk mitigation in this evolving landscape.

Gold, silver ETF inflow pips equity MF schemes

Updated · February 10, 2026 at 12:35 PM

For the first time ever, the inflows into precious‑metal exchange‑traded funds (ETFs) – gold and silver – have overtaken those of all equity schemes, which were beaten down by mark‑to‑market losses.

The inflows into gold and silver ETFs hit a high of ₹24,040 crore (₹11,647 crore) and ₹9,463 crore (₹3,962 crore) respectively, as investors used the fall in precious‑metal prices to pump in more money. Passive assets under management were up 6 percent to ₹15.41 lakh crore (₹14.57 lakh crore), according to data released by the Association of Mutual Funds in India (AMFI) on Tuesday.

In contrast, inflows into equity schemes fell to ₹24,029 crore last month, down from ₹28,054 crore logged in December. Overall, equity AUM was down two percent to ₹34.86 lakh crore (₹35.72 lakh crore), largely due to mark‑to‑market losses amid extreme volatility.

“The demand for investing in gold will remain strong as long as the high US debt persists and central banks continue to buy the yellow metal,” said Venkat Chalasani, CEO, AMFI.

“Silver prices are being driven by industrial demand and are firming up due to short supply in the market.”

“Equity markets were volatile due to uncertainty over the US trade deal, and bellwether equity indices were beaten down by a sharp pull‑out by foreign portfolio investors.”

Published on February 10, 2026