Equity Mutual Fund AUM Growth: Which Categories Lead in October 2026?
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Small-cap funds lead on recent asset growth. Multi-cap funds have expanded fastest over three years. Flexi-cap funds hold the largest pool of assets. Across India’s equity mutual funds, leadership changes with the period being measured.
At October 31, 2026, active equity mutual fund assets stood at ₹37.15 lakh crore, up 3.92% over six months and 5.62% over one year. Over three years, the asset base grew at an annualised rate of 25.50%.
Within that total, growth has become uneven. Small-cap assets rose by double digits over six months, while five categories recorded a decline. Sectoral and thematic funds retained a strong three-year record but saw much slower expansion over the latest year.
A comparison across these periods shows where growth has held up, where it has slowed and how the largest categories stack up against the fastest-growing ones.
What Is Driving Equity Fund AUM Growth?
Assets under management, or AUM, change with both investor transactions and the market value of a fund’s holdings. Fresh investments add to the asset base, redemptions reduce it, and share-price movements affect the value of the money already invested. New schemes, mergers and category changes can also influence the totals.
A category can therefore record rising AUM during a weak market if fresh investments outweigh the fall in portfolio values. Equally, a market decline can reduce AUM even while investors continue adding money.
The figures below track the growth of each category’s asset pool. Investment returns and net inflows remain separate measures.
How We Compare the Categories
Let’s use three periods to compare growth, so that one strong stretch does not decide the entire ranking:
- Six-month growth: Compare October 2026 closing AUM with April 2026.
- One-year growth: Compare October 2026 with October 2025.
- Three-year CAGR: Calculate the annualised growth rate between October 2023 and October 2026.
- Rank each period separately: The highest growth receives rank 1. Rankings use the calculated figures before rounding.
- Average the three ranks: Each period receives equal weight. A lower combined score indicates a stronger relative position across these periods.
Value and contra funds are grouped together, as are sectoral and thematic funds, to match the combined historical data available in AMFI’s report. The total active equity category is shown for context and is excluded from the ranking.
Active Equity Fund Categories Ranked by AUM Growth
| Active Equity Fund Category | October 2026 AUM (₹ crore) |
Six-Month Growth (%) |
One-Year Growth (%) |
Three-Year AUM CAGR (%) |
Combined Rank Score |
|---|---|---|---|---|---|
| Small-cap | 4,40,875 | 12.25 | 18.40 | 30.27 | 2.00 |
| Multi-cap | 2,43,406 | 6.43 | 10.51 | 37.18 | 2.33 |
| Large & mid-cap | 3,55,311 | 5.99 | 10.29 | 30.51 | 3.67 |
| Mid-cap | 5,03,434 | 5.98 | 10.74 | 27.78 | 4.00 |
| Flexi-cap | 5,91,364 | 5.72 | 10.79 | 27.43 | 4.33 |
| Sectoral / thematic | 5,38,269 | 1.52 | 0.83 | 35.07 | 5.33 |
| Focused | 1,80,369 | 3.95 | 6.02 | 17.46 | 7.00 |
| Value / contra | 2,09,174 | −1.09 | −1.81 | 22.21 | 7.67 |
| Large-cap | 3,93,541 | −1.33 | −4.05 | 14.70 | 9.33 |
| Dividend yield | 30,095 | −4.52 | −9.38 | 17.68 | 9.67 |
| ELSS / tax saving | 2,28,712 | −3.79 | −9.69 | 9.30 | 10.67 |
| Total Active Equity Funds | 37,14,550 | 3.92 | 5.62 | 25.50 | Not applicable |
Scroll horizontally to view the full table.
Reference date: October 31, 2026. Source: AMFI Monthly Note, October 2026. Growth rates, CAGR and combined scores are calculated from published month-end AUM figures rounded to ₹ crore. Six-month and one-year growth are absolute changes; three-year growth is annualised. Rankings use unrounded calculations. The combined score is an analytical comparison, not an AMFI fund rating.
Small-Cap and Multi-Cap Funds Lead for Different Reasons
Small-cap funds ranked first on both six-month and one-year growth, with assets rising 12.25% and 18.40%, respectively. Their three-year AUM CAGR of 30.27% placed them fourth on that measure, producing the strongest combined score of 2.00.
Multi-cap funds finished close behind with a score of 2.33. They led the three-year comparison at 37.18% CAGR and ranked second over six months. Their one-year growth of 10.51% placed them fourth.
Small-cap funds lead on recent expansion, while multi-cap funds have recorded the strongest growth over three years.
The categories also differ in scale. Small-cap funds held ₹4.41 lakh crore at October-end, compared with ₹2.43 lakh crore for multi-cap funds. The stronger three-year percentage growth in multi-cap funds came from a smaller starting asset base.
Large & Mid-Cap, Mid-Cap and Flexi-Cap Funds Maintain Growth
Large & mid-cap, mid-cap and flexi-cap funds occupied the next three positions. All three grew faster than the overall active equity total across every period measured.
Large & mid-cap funds took third place, supported by a 30.51% three-year AUM CAGR. Their six-month growth of 5.99% was only slightly ahead of mid-cap funds at 5.98%.
Mid-cap funds held ₹5.03 lakh crore and recorded 10.74% one-year growth. Flexi-cap funds were slightly ahead over one year at 10.79%, but their lower three-year growth placed them fifth in the combined ranking.
Flexi-cap remained the largest category in the table, with ₹5.91 lakh crore. Its position reflects a substantial existing asset base alongside continued expansion.
Sectoral and Thematic Funds See Slower Recent Expansion
Sectoral and thematic funds present the sharpest contrast between recent and longer-term growth.
Their 35.07% three-year AUM CAGR was second only to multi-cap funds. Over the latest year, however, assets grew by just 0.83%. Six-month growth was also modest at 1.52%.
That left the group sixth overall, despite its high three-year ranking and ₹5.38 lakh crore asset base.
The longer period still captures substantial expansion, but the latest figures show a much slower pace. Identifying the reasons requires a closer look at net flows, portfolio performance and individual schemes, particularly because this group combines funds with very different sector and thematic exposures.
Five Categories Record Lower AUM Over Six Months and One Year
Value / contra, large-cap, dividend yield and ELSS funds recorded declines across both shorter periods. All four retained positive three-year growth.
ELSS had the largest one-year decline at 9.69%, followed by dividend yield funds at 9.38%. Large-cap assets fell 4.05%, while value / contra assets declined 1.81%.
Over six months, dividend yield funds saw the steepest fall at 4.52%. ELSS assets declined 3.79%, large-cap assets fell 1.33%, and value / contra assets slipped 1.09%.
Focused funds sat above these categories in the combined ranking. Their assets grew across all three periods, although a three-year CAGR of 17.46% placed them ninth on that measure and seventh overall.
What the October Comparison Shows
Recent AUM expansion is strongest in small-cap funds, while multi-cap funds retain the lead over three years. Large & mid-cap, mid-cap and flexi-cap funds show growth across the periods. Sectoral and thematic funds have a strong longer-term record but much slower recent expansion.
For portfolio decisions, these trends sit alongside scheme returns, risk, costs and existing holdings. Adding another fast-growing category may increase exposure to companies or market segments already well represented in a portfolio.
The combined ranking gives equal weight to three overlapping periods. It captures the relative pace of asset growth, while a fund’s place in an investor’s portfolio depends on its strategy and the goal it serves.
FAQs
1. Which equity mutual fund category leads the October 2026 AUM growth ranking?
Small-cap funds lead with a combined score of 2.00, followed by multi-cap funds at 2.33. Small-cap funds recorded the highest six-month and one-year AUM growth, while multi-cap funds had the highest three-year AUM CAGR.
2. Is mutual fund AUM growth the same as investment returns?
AUM growth includes changes from investments, redemptions and the market value of existing holdings. Investment returns measure the performance of the money invested in a scheme. A category’s AUM growth rate can therefore differ substantially from the returns earned by its investors.
3. Does a lower combined rank score identify a better investment?
A lower score indicates a stronger relative position on historical category AUM growth. Fund selection also depends on portfolio strategy, risk, costs, investment horizon and performance against an appropriate benchmark.
Sources
- AMFI Monthly Note, October 2026 — Category-wise month-end AUM and historical comparison figures.
Disclaimer: This article is for information and education only and is not a recommendation to buy or sell any mutual fund. The ranking measures historical category AUM growth, not future returns or suitability. Mutual fund investments are subject to market risks. Read all scheme-related documents carefully.
