SIP inflow crosses Rs 26,000 crore for the first time in December: Amphi

New Delhi| Monthly Systematic Investment Plan (SIP) investments have crossed Rs 26,000 crore for the first time in December, according to data released by the Association of Mutual Funds of India (AMFI), which shows that small investors continue to have confidence in mutual funds for long-term investments

Investment in mutual funds through SIP has increased to Rs 26,459 crore in December. In November it stood at Rs 25,320 crore. The number of mutual fund (MF) folios with SIP has also increased to 22.50 crore in December, from 22.02 crore last month.

According to reports, there has been a huge increase of 233 per cent year-on-year in SIP investment in India last year. The reason for this is the strengthening of the Indian economy, due to which the stock market is witnessing a continuous rise.

According to Ashwini Kumar of credit rating agency ICRA Analytics, the structural growth story of the Indian economy remains intact and India remains a bright spot in the global economy. Due to this, the domestic mutual fund industry is expected to grow manifold in the coming years.

The surge in SIP comes at a time when the equity market performed slow last month. In December, both Sensex and Nifty had fallen by 2.08 percent and 2.02 percent.

According to National Stock Exchange (NSE) data, a record 42,76,207 investors were associated with the Indian stock market in November. In the July-September period this year, a total of 1,60,06,447 (over 1.6 crore) people joined the stock market. Due to this, India’s equity markets had reached record highs. The stock exchange also reported that the total number of investors registered as of December 23 this year was more than 21.02 crore.