The latest data of AMFI shows that the monthly SIP contribution in the MF industry has fallen to its eight-month low to Rs. 7,302 crore.
Subsequently, the total number of SIP registered during November has fallen to 10.63 lakh in November from 11.27 lakh in October.
On the other hand, the MF industry has witnessed marginal reduction in SIP discontinuation. The industry has recorded 7.24 lakh SIP discontinuation in November compared to 7.87 lakh in October.
Sunil Subramaniam, MD, Sundaram MF believes that many investors who paused their SIPs have not come back due to the rally in equity market. “These investors may take a little while to restart their SIPs,” said Sunil.
Suresh Sadagopan of Ladder7 Financial Advisories, Mumbai said that the market rally has given an opportunity for long term investors to book profits and reserve cash for emergency.
Meanwhile, G Pradeepkumar, CEO, Union MF attributes this to public holidays like Diwali. He also points out that the MF industry did not receive SIP contribution in the last three days of November due to public holidays.
|
Month |
Total no of new SIP registered |
No of SIPs discontinued |
SIP contribution (in crore) |
|
November |
10.63 |
7.24 |
7,302 |
|
October |
11.27 |
7.87 |
7,800 |
|
September |
10.41 |
7.29 |
7,788 |
|
August |
11.01 |
7.58 |
7,792 |
|
July |
11 |
7.16 |
7,831 |
|
June |
9.13 |
6.58 |
7,917 |
|
May |
8.08 |
6.52 |
8,123 |
|
April |
7.5 |
5.4 |
8,376 |
(in lakh)
