According to reports from The Economic Times, NSE Indices CEO Aniruddha Chatterjee announced that total Assets Under Management (AUM) in passive investments has surged from ₹1.63 lakh crore in 2020 to approximately ₹50 lakh crore in 2026. Speaking at a press meet in Mumbai, Chatterjee emphasized that passive investment has become mainstream and entered a phase where people view it as part of their overall financial solutions. The CEO noted that it is their responsibility to provide a framework that investors can understand easily and transparently to effectively guide, channelise, and allocate their assets in a diversified manner.
As reported by The Economic Times, Chatterjee revealed that the number of passive fund folios has breached the 5-crore mark, underscoring the rapid adoption of ETFs and index funds. When asked about the current number of passive investors in India, Chatterjee stated that looking at the number of folios linked to passive investment funds, they have surpassed 50 million unique investors. The CEO noted that passive investing is no longer a niche segment but is increasingly becoming an integral part of retail and institutional portfolios, with the entire passive investment landscape moving into a new phase.
According to the latest NSE Indices report cited by The Economic Times, AUM rose to ₹15.02 lakh crore in January 2026, reflecting a healthy month-on-month increase of 5-8 per cent. The industry witnessed net investment inflows of ₹39,073 crore, marking the 63rd consecutive month of positive flows. While a significant portion of the investment flowed into gold and silver ETFs, equity-oriented passive schemes attracted ₹8,746 crore in net inflows. The report also highlighted that the Nifty India FPI 150 Index comprises the top 150 stocks from the Nifty 500, ensuring accessibility for foreign investors.
As reported by The Economic Times, Chatterjee explained the fundamental difference between active and passive investing, stating that in active strategies, someone else decides which stocks to buy and sell, while in passive strategies, fund managers simply replicate an index strategy. He noted that because of the index's performance and construction, investors benefit from the ability to verify all information readily available in the public domain. The CEO emphasized that this gives investors the leverage to choose passive products that accurately track the particular market, while urging caution that passive investing should be viewed as a long-term approach with proper understanding of associated risks.
