Capital Markets Landscape
A bird’s eye view of Indian Capital Markets
- Home
- Capital Markets Landscape
Indian equity markets have delivered double-digit growth in both INR and USD terms over the last two years.
Movement in global equity indices during the last two years (June’2023 = 100)
Source: LSEG Refinitiv, NSE EPR
Renewed uncertainty over trade negotiations, weaker-than-expected Q1 corporate earnings and weakening in the INR continued the FPIs as net sellers in August with outflows amounting to US$4 bn. DII remained consistent buyers stabilizing the markets, with US$10.8 bn of inflows. Individual investors continued buying streak in August 2025, adding another US$ 518 million.
Monthly Trends in equity fund flows across FPIs, DIIs and individual investors
Source: NSDL, LSEG Datastream and NSE EPR
Equity fund-raising so far this fiscal has grown by 7.6% to US$ 21.1 bn while the debt-fund raising has registered a sharp uptick of 25.6% to nearly US$ 50 bn.
Trends in absolute fund mobilisation across equity, debt and REITs-InvITs in India
Source:SEBI, LSEG Datastream, NSE EPR
Mutual fund AAUM fell to US$877 in August 2025 from record high level of US$ 894 bn in July 2025 and inflows of US$ 68 bn in the first five months of FY26, aided by record SIP inflows. Equity AAUM is now ~10% of overall Indian equity market.
Trends in net fund flows and average assets under management of mutual funds
Source: AMFI, CMIE Economic Outlook, LSEGH Datastream, NSE EPR
Total demat accounts in India have reached 205 million with the MF folios close to 250 million as of August’2025.
Trends in number of demat accounts and MF folios
Source: CMIE Economic Outlook, NSE EPR
Source: MSCI Index Factsheet