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An analysis of SIP longevity data shows that a majority of SIP accounts have come from regular plans. Our analysis reveals that 62% of the total SIP accounts have come through regular plans. These SIPs account for 79% of the total SIP AUM in March 2025.
Of the total 10.05 crore SIP accounts, 6.24 crore accounts have come through regular plans while 3.81 crore are in direct plans. In terms of AUM, of the total SIP AUM of Rs.13.36 lakh crore, assets of Rs.10.51 lakh crore and Rs.2.84 lakh crore are in regular and direct plans, respectively.
This reflects the continued relevance of distributors and advisors in guiding investors through regular plan investments, especially among long-term SIP holders.
The analysis also indicates that a large portion of SIPs are still in their early age. In FY25 alone, the industry opened 4.40 crore new SIP accounts with a longevity of less than one year, making up 44% of total SIP accounts.
In contrast, only 12% of SIP accounts, or 1.19 crore, have stayed invested for more than five years. Interestingly, these long-term SIPs account for a robust Rs.3.98 lakh crore, or 30% of total SIP AUM, highlighting the importance of staying invested for longer durations.
Let us look at the table to know more.
|
SIP Duration |
No. of SIP accounts (Total) |
Proportion of SIP accounts |
AUM (Total) |
Proportion of SIP AUM |
|
More than 5 years |
11938349 |
12% |
398343 |
30% |
|
4 to 5 years |
5035252 |
5% |
113252 |
8% |
|
3 to 4 years |
9341459 |
9% |
128068 |
10% |
|
2 to 3 years |
11111514 |
11% |
179853 |
13% |
|
1 to 2 years |
19151300 |
19% |
225878 |
17% |
|
Less than 1 years |
43960811 |
44% |
289795 |
22% |
|
Total |
100538685 |
100% |
1335188 |
100% |
Direct vs regular SIPs
Fresh data on SIP trends from FY25 highlights a growing preference for direct plans among new investors, while regular plans continue to dominate in long-term investing, both in terms of volume and AUM.
Direct plans account for nearly half of new sips
In FY25, the industry opened over 4.40 crore new SIP accounts with a longevity of less than a year. Of these:
45% (1.96 crore SIPs) were under direct plans, managing a total AUM of Rs.85,618 crore, or 30% of the total new SIP AUM.
55% (2.44 crore SIPs) were under regular plans, managing an AUM of Rs.2.04 lakh crore, or 70% of the total.
This indicates that direct plans are becoming increasingly popular among first-time investors, though investment amounts in direct SIPs is lower than those in regular plans.
Regular plans strong in long-term SIPs
The picture shifts significantly when it comes to long-term SIPs (with a tenure of over 5 years).
Regular plans account for 77% of these SIPs, or 92 lakh accounts, with a substantial Rs.3.45 lakh crore in AUM — which is 87% of the AUM in this category.
In contrast, direct plans comprise just 23% of long-term SIPs, or 27 lakh accounts, with Rs.53,754 crore in AUM, representing 13% of the total AUM for SIPs longer than five years.
This highlights the critical role played by MFDs in encouraging and supporting investor discipline and long-term commitment.
Here's a table below showing the data for SIP AUM:
|
SIP Duration |
No. of SIP accounts (Direct) |
AUM - Direct |
No. of SIP accounts (Regular) |
AUM - Regular |
No. of SIP accounts (Total) |
AUM-Total |
|
Less than a year |
19569164 (45%) |
85618(30%) |
24391647 (55%) |
204177(70%) |
43960811 |
289795 |
|
More than 5 years |
2687103 (77%) |
53754(13%) |
9251246 (23%) |
344589(87%) |
11938349 |
398343 |
Direct plan
Industry data reveals that a majority of SIP investments in direct plans are relatively new and short-term.
As of March 2025, over 51% of the total SIP accounts under direct plans have a longevity of less than a year. These short-duration SIPs account for 30% of the total SIP AUM in direct plans, highlighting the growing popularity of direct investing among newer participants.
However, when it comes to long-term commitment, direct plans lag behind regular plans significantly. Only 7% of total SIP accounts in direct plans have been active for more than five years. These long-term SIPs constitute just 19% of the total SIP AUM under direct plans.
Let us look at the table to know more:
|
SIP Duration |
No. of SIP accounts (Direct) |
Proportion of SIP accounts |
AUM (Direct) |
Proportion of AUM |
|
More than 5 years |
26,87,103 |
7% |
53,754 |
19% |
|
4 to 5 years |
22,23,496 |
6% |
20,668 |
7% |
|
3 to 4 years |
37,64,203 |
10% |
27,707 |
10% |
|
2 to 3 years |
35,35,815 |
9% |
39,918 |
14% |
|
1 to 2 years |
63,58,318 |
17% |
56,082 |
20% |
|
Less than 1 years |
1,95,69,164 |
51% |
85,618 |
30% |
|
Total |
3,81,38,099 |
100% |
2,83,748 |
100% |
Regular plans
The data reveals the superior investment discipline among investors using regular plans, with a significantly higher proportion of long-term SIPs compared to direct plans.
As of March 2025, 15% of total SIP accounts in regular plans have remained active for over 5 years, accounting for 33% of the total SIP AUM in this category.
At the same time, 39% of SIP accounts in regular plans — representing 19% of the total SIP AUM — have a longevity of less than a year, indicating ongoing inflows from new investors.
Here's a table below showing the data for regular AUM:
|
SIP Duration |
No. of SIP accounts (Regular) |
Proportion of SIP accounts |
AUM (Regular) |
Proportion of AUM |
|
More than 5 years |
92,51,246 |
15% |
3,44,589 |
33% |
|
4 to 5 years |
28,11,756 |
5% |
92,584 |
9% |
|
3 to 4 years |
55,77,256 |
9% |
1,00,361 |
10% |
|
2 to 3 years |
75,75,699 |
12% |
1,39,935 |
13% |
|
1 to 2 years |
1,27,92,982 |
21% |
1,69,796 |
16% |
|
Less than 1 years |
2,43,91,647 |
39% |
2,04,177 |
19% |
|
Total |
6,24,00,586 |
100% |
10,51,440 |
100% |
