diff --git a/edb/edgeql/compiler/func.py b/edb/edgeql/compiler/func.py
index 452c28c71cf..879ec815870 100644
--- a/edb/edgeql/compiler/func.py
+++ b/edb/edgeql/compiler/func.py
@@ -348,6 +348,18 @@ def compile_FunctionCall(
     else:
         res = fcall
 
+    if isinstance(res, irast.FunctionCall) and res.body:
+        # If we are generating a special-cased inlined function call,
+        # make sure to register all the arguments in the scope tree
+        # to ensure that the compiled arguments get picked up when
+        # compiling the body.
+        for arg in res.args.values():
+            pathctx.register_set_in_scope(
+                arg.expr,
+                optional=arg.param_typemod == ft.TypeModifier.OptionalType,
+                ctx=ctx,
+            )
+
     ir_set = setgen.ensure_set(res, typehint=rtype, path_id=path_id, ctx=ctx)
     return stmt.maybe_add_view(ir_set, ctx=ctx)
 
diff --git a/edb/edgeql/compiler/inference/multiplicity.py b/edb/edgeql/compiler/inference/multiplicity.py
index 6c0f9854efb..935d0191875 100644
--- a/edb/edgeql/compiler/inference/multiplicity.py
+++ b/edb/edgeql/compiler/inference/multiplicity.py
@@ -357,6 +357,9 @@ def __infer_func_call(
         for g_arg in ir.global_args:
             _infer_set(g_arg, scope_tree=scope_tree, ctx=ctx)
 
+    if ir.body:
+        infer_multiplicity(ir.body, scope_tree=scope_tree, ctx=ctx)
+
     if card.is_single():
         return UNIQUE
     elif str(ir.func_shortname) == 'std::assert_distinct':
diff --git a/tests/schemas/ext_ai.esdl b/tests/schemas/ext_ai.esdl
index f596e7544ed..9c8320cda8c 100644
--- a/tests/schemas/ext_ai.esdl
+++ b/tests/schemas/ext_ai.esdl
@@ -36,7 +36,7 @@ type Astronomy {
 type Stuff extending Astronomy {
     content2: str;
     deferred index ext::ai::index(embedding_model := 'text-embedding-test')
-        on (.content ++ .content2);
+        on ({.content} ++ {.content2});
 };
 
 type Star extending Astronomy;
diff --git a/tests/test_ext_ai.py b/tests/test_ext_ai.py
index e56a31d1b97..835d1762b92 100644
--- a/tests/test_ext_ai.py
+++ b/tests/test_ext_ai.py
@@ -209,6 +209,17 @@ async def test_ext_ai_indexing_02(self):
             variables=dict(qv=qv),
         )
 
+        await self.assert_query_result(
+            '''
+            select _ := ext::ai::to_context((select Stuff))
+            order by _
+            ''',
+            [
+                'Skies on Earth are blue',
+                'Skies on Mars are red',
+            ],
+        )
+
         async for tr in self.try_until_succeeds(
             ignore=(AssertionError,),
             timeout=10.0,
@@ -261,6 +272,17 @@ async def test_ext_ai_indexing_03(self):
             """,
         )
 
+        await self.assert_query_result(
+            '''
+            select _ := ext::ai::to_context((select Star))
+            order by _
+            ''',
+            [
+                'Skies on Earth are blue',
+                'Skies on Mars are red',
+            ],
+        )
+
         async for tr in self.try_until_succeeds(
             ignore=(AssertionError,),
             timeout=10.0,