Mutual funds emerge as Indians’ preferred route to equities over direct buying

Indian households are increasingly using mutual funds to gain equity exposure instead of buying stocks directly, a JM Financial report said. Mutual fund holdings in Indian companies rose to 11.3% in FY26 from 10.2% in FY25 and 3.4% in FY14, while direct public holdings fell to 9.4%. Mutual fund folios rose 16.8% to 274 million in FY26.