Over the last two years, SIP has been a driver of steady inflows in the industry. In fact, the latest AMFI data shows the industry’s SIP collection for the FY year 2018-19 (Rs. 68,479 crore) has already surpassed the total collection in FY17-18 (Rs. 67,190 crore). Assuming the monthly SIP inflows continue at the current level (Rs. 8,022 crore) for the next three months, the industry will receive Rs. 92,545 crore as SIP inflows in FY 18-19. This will be a 38% increase over the previous year’s collection.
SIP flows grew by 53% in FY17-18. While we may see some uptick in SIP inflows near year-end, the momentum in SIP seems to have slowed.
As per recent AMFI data, on net basis SIP flows grew by Rs. 37 crore to reach an all-time high of Rs. 8,022 crore last month. The industry also added net 2 lakh SIP accounts in December taking the total to 2.54 crore SIP folios.
On an average, the industry has added 9.46 lakh SIP accounts each month in FY 18-19.
SIP flows
|
Month |
SIP Contribution Rs. crore |
||
|
FY 2018-19 |
FY 2017-18 |
FY 2016-17 |
|
|
Total during FY |
68,479 |
67,190 |
43,921 |
|
March |
7,119 |
4,335 |
|
|
February |
6,425 |
4,050 |
|
|
January |
6,644 |
4,095 |
|
|
December |
8,022 |
6,222 |
3,973 |
|
November |
7,985 |
5,893 |
3,884 |
|
October |
7,985 |
5,621 |
3,434 |
|
September |
7,727 |
5,516 |
3,698 |
|
August |
7,658 |
5,206 |
3,497 |
|
July |
7,554 |
4,947 |
3,334 |
|
Jun |
7,554 |
4,744 |
3,310 |
|
May |
7,304 |
4,584 |
3,189 |
|
April |
6,690 |
4,269 |
3,122 |
Source: AMFI
The industry’s average AUM for December stood at 24.09 lakh crore. The month end AUM was a bit lower at Rs. 22.83 lakh crore. Large-scale redemptions in liquid funds during quarter ends may have contributed to the lower month-end number. The month of December too saw liquid funds recording net outflows of Rs. 1.49 lakh crore. Industry experts are expecting a reversal in liquid flows in January.
Average AUM is the average assets of the entire month and is calculated by factoring in all working days of the month while month end AUM is the assets of the industry as of the last working day of the month.
