Passive investment assets rise to Rs 15.42 lakh crore despite market weakness: NSE

Mumbai (Maharashtra) [India], October 19 (ANI): India's passive investment assets rose 1.8 per cent month-on-month to Rs 15.42 lakh crore in August 2026, supported by continued inflows into exchange-traded funds (ETFs) and index funds despite weakness in the equity market, according to the October 2026 newsletter by NSE Indices.
The growth came even as the benchmark Nifty 50 index declined 1.14 per cent during August, indicating that investors continued allocating money to passive investment products despite market volatility.
In its newsletter, NSE Indices stated, "August 2026 highlighted the continued momentum in passive investing despite a challenging market environment. Passive assets increased 1.8% month-on-month (MoM) to Rs.15.42 lakh crore, supported by net inflows of Rs 10,948 crore during the month."
Commodity-based passive investment products emerged as the biggest contributors to asset growth, supported by investor inflows and an increase in precious metal prices.
The newsletter noted, "Commodities were the biggest contributor to growth, with AUM rising 10.2% to Rs 2.77 lakh crore, aided by Rs 3,867 crore of inflows and higher precious metal prices."
Equity passive investment assets also recorded growth despite the decline in the benchmark index.
According to NSE Indices, "Equity passive assets inched up to Rs.10.76 lakh crore on the back of Rs.9,630 crore inflows, despite the benchmark Nifty 50 declining 1.14% during the month."
The figures suggest that fresh investments helped support equity passive assets even as falling stock prices weighed on market performance.
Meanwhile, debt passive assets remained largely unchanged at Rs 1.89 lakh crore despite outflows of Rs 2,555 crore, as valuation gains offset redemption pressures.
The newsletter also highlighted continued expansion in passive investment products.
During August, 16 new passive schemes were launched, comprising 12 ETFs and four index funds. Of these, 14 were equity-oriented, while the commodity and debt segments accounted for one launch each.
The continued inflows and new product launches point to sustained investor interest in passive investment options, even during periods of equity market weakness. (ANI)