In October 2024, investments through monthly Systematic Investment Plans (SIPs) reached a record-breaking Rs 25,000 crore, signaling a positive sentiment among retail investors towards the Indian stock markets. Data from the Association of Mutual Funds in India (AMFI) released on November 11 reveals that the SIP book touched Rs 25,322 crore, up from Rs 24,509 crore in September. This represents the first time SIP investments have crossed the Rs 25,000-crore threshold, even as the markets trended downward.
The number of SIP accounts also reached a new high at 10.12 crore in October, compared to 9.87 crore in September, with an additional 24.19 lakh SIP accounts opened during the month. This growth indicates retail investors’ optimism about the Indian markets despite the Nifty and Sensex both recording declines of 6.22 percent and 5.77 percent, respectively, in October.
While SIP assets under management (AUM) reached Rs 13.81 lakh crore in September 2024, the value slipped slightly to Rs 13.30 lakh crore in October due to mark-to-market losses. Nonetheless, overall inflows into open-ended equity mutual funds saw a strong 21.69 percent rise month-on-month, totaling Rs 41,887 crore in October.
The month’s performance reflects broad-based investment interest, with substantial inflows into large-cap, mid-cap, and small-cap funds, along with sustained enthusiasm for Sectoral and Thematic funds. Santosh Joseph, Co-founder and CEO of Germinate Investor Services, commented that investors are focusing on long-term goals rather than short-term market volatility.
SIP contributions have shown steady growth since 2016-2017, with inflows rising from Rs 3,122 crore in April 2016 to around Rs 8,500 crore by March 2020. Post the COVID-19 pandemic, SIP investments surged further, breaking Rs 10,000 crore in September 2021 and reaching Rs 20,000 crore in Apri
l 2024.
