The Indian mutual fund industry, valued at Rs 53.4 lakh crore, faced significant outflows in March 2024, primarily driven by debt funds. Debt funds experienced withdrawals of Rs 1.98 lakh crore, notably from liquid funds, while equity funds saw a 16% decrease in investments, totaling Rs 22,633.15 crore. Notably, smallcap funds experienced outflows amid market concerns. The shift in investor sentiment was attributed to various factors including advance tax payments and market valuations. Despite this, Systematic Investment Plans (SIPs) continued to exhibit strong growth, reaching Rs 19,270 crore monthly inflow. Gold Exchange Traded Funds (ETFs) witnessed lower inflows amidst ongoing geopolitical tensions.