New Delhi, March 13 -- Multi-Cap Funds have reached a significant milestone with Assets Under Management (AUM) at approximately Rs.2.23 lakh crore, according to January 2026 data from the Association of Mutual Funds in India. In 2021, this figure stood at about Rs.1.43 lakh crore, marking an expansion of nearly 56 per cent in five years. It now represents about 7 per cent of the total equity mutual fund Assets Under Management (AUM) in the country.

A Multi-Cap Fund is defined by its regulatory mandate, which distinguishes it from other diversified equity schemes like Flexi-Caps. Under the '25-25-25' rule, these funds are required to maintain a minimum of 25 per cent exposure each in large-cap, mid-cap, and small-cap stocks at all times. ...