Islamabad, Apr 25, 2025: Investment inflows into mutual funds in Pakistan have reached an all-time high, with Asset Management Companies (AMCs) reporting combined assets of Rs. 3.818 trillion as of March 2025.
Despite a notable drop in profit margins across various mutual fund categories, investor confidence remains strong, backed by consistent performance, tech-driven access, and strategic promotions.
According to the latest figures from the Mutual Funds Association of Pakistan (MUFAP), 21 licensed AMCs managed Rs. 1.77 trillion in money market funds, which remains the dominant category
. Income funds followed closely with Rs. 917 billion in assets, while the equity mutual funds category accounted for Rs. 392 billion.
These AMCs allocated 45% of their capital into government securities, 29% into banks and DFIs, 11% into equity markets, and 1% into other avenues.
The appeal of open-end mutual funds continues to grow among individuals, corporates, and institutional investors.
Assets held in conventional open-ended mutual funds totaled Rs. 2 trillion, while Islamic mutual funds reached Rs. 1.67 trillion — reflecting increasing demand for Shariah-compliant investment options.
Beyond traditional fund types, pension schemes in Pakistan also saw stable growth.
Voluntary Pension Schemes attracted Rs. 97 billion, while Employer Pension Funds and Exchange-Traded Funds (ETFs) received Rs. 2.2 billion and Rs. 1.2 billion respectively.
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The year 2024 marked key milestones for the mutual fund industry, with total assets first hitting Rs. 2 trillion in January and then crossing Rs. 3 trillion by September.
Even though average profit returns have declined from 20% to around 10%, the sector continues to thrive, highlighting investor confidence and the growing relevance of digitally managed investment platforms.
As Pakistan’s mutual fund landscape evolves, AMCs are leveraging digital innovations, investor education, and diversified fund types to attract and retain investors, making mutual funds a preferred low-risk avenue for wealth growth in 2025.
