Even as equity funds witness record outflows, equity SIP accounts increase by 2.31 lakh

Even as the equity funds witnessed record outflows in November, industry experts feel the overall trend on SIPs is positive with a nearly 2.31 lakh increase in equity SIP accounts during the month.

In November, the number of live SIP accounts investing in equity funds rose by 2.31 lakh to more than 2.89 crore from 2.87 crore in October.

The increase in equity SIP accounts came in a month that witnessed over Rs 12,900 crore outflow from equity funds.

Other schemes such as income/debt oriented funds saw the live SIP accounts increase by 40932 to 10.23 lakh and index funds witnessed live SIP accounts rise by 22,474 to 4.41 lakh. AMFI data also shows increase in all other categories except solution oriented funds. Overall, live SIP accounts rose by 3.39 lakh to 3.40 crore.

However, the SIP amount collected in November declined by nearly 500 crore. And a lion's share of this decline i. e. Rs 450 crore was in equity funds. SIP collected for equity schemes in November fell to Rs 6187 crore as against Rs 6639 crore of inflows in October.

SIP inflows declined in November as the last three days were non-business. Due to this, a significant amount of SIP flows did not reflect in the official numbers that have been released, said N S Venkatesh, CEO, AMFI.