Markets
BSE See NSE See 48,732.55
41.75 (0.09%)

SIP investment tumbles again in January

Shashikant Singh
/ Categories: Mindshare, Mutual Fund
Rate this article:
4.5
SIP investment tumbles again in January

January 2021 becomes the seventh consecutive month when there has been net outflow from the equity dedicated mutual funds. Although the pace of the outflow has declined compared to December 2020, it remained at an elevated level of Rs 9,253 crore.    

The worst part of such an outflow is that even systematic investment plans (SIPs) get impacted. For the month of January 2021, the total investment through SIP has come down to Rs 8,023 crore.  It is down by 5 per cent on a sequential basis while on yearly basis, it is down by 6 per cent.   

SIP for last one year  

Month  

SIP (Rs in crore)  

Month-on-month change (per cent) 

Feb-20  

8,513  

   

Mar-20  

8,641  

1.5  

Apr-20  

8,376  

-3.1 

May-20  

8,123  

-3.0  

Jun-20  

7,917  

-2.5 

Jul-20  

7,831  

-1.1 

Aug-20  

7,792  

-0.5  

Sep-20  

7,788  

-0.1 

Oct-20  

7,800  

0.2 

Nov-20  

7302  

-6.4  

Dec-20  

8,418  

15.3  

Jan-21  

8,023  

-4.7  

The number of SIP accounts, however, increased by 8.78 lakh to 3.55 crore in January 2021. It has increased consistently from 3.14 crore (at the beginning of the financial year FY21). There are some SIP accounts that are being closed; however, the number of such accounts has remained around 7 lakh every month compared to the average addition of around 10 lakh every month. Even the AUM under SIP has increased in the last one year and is around Rs 4 lakh crore.  All these indicate that the fall in the SIP may be due to profit booking and pausing for investment at the historical high of the market.   

Previous Article Ten stocks close to their 52-week high
Next Article ICICI Prudential AMC appoints Anand Shah as Head of PMS & AIF Investments
Please login or register to post comments.

Get A Call From Industry Experts

Send Otp

   I authorize DSIJ Pvt Ltd to contact me. This will override registry on the NDNC.

DSIJ MINDSHARE

1345Last

Knowledge

1345Last