New Delhi, Sept. 1 -- Equity mutual funds (MFs) have remained the preferred investment avenue for retail investors, even in the face of market volatility, as they continue to pursue long-term wealth creation. The net assets under management (AUM) of equity mutual funds soared by 335.31% to Rs.33.32 lakh crore in July 2025, compared with just Rs.7.65 lakh crore in July 2020. This massive growth underscores the growing participation of investors who are willing to ride out short-term market fluctuations.

Moreover, Systematic Investment Plans (SIPs) have also played a key role in cushioning volatility by encouraging investors to invest a fixed amount regularly. Through rupee-cost averaging, SIP investors are able to buy more units when pric...