SIP Inflow: The trend of SIP (Systematic Investment Plan) has increased in the last few years. People investing in mutual funds are choosing this simple and effective investment method. Given the many benefits of SIP, its contribution was increasing continuously since July 2023. But now according to the new data of November 2023, the pace of this pace has declined.
Releasing the SIP data on Tuesday, AMFI (Association of Mutual Funds in India) informed that the total contribution of SIP in November was Rs 25,320 crore, which was Rs 2 crore less than Rs 25,322 crore in the previous month.
After a decrease of Rs 14.23 crore in June 2023, SIP had registered an increase for 16 consecutive months. In July 2024, it saw an increase of Rs 2,060 crore. During this period, SIP inflows set new records every month, with the lowest increase of Rs 85 crore in March 2024. Why did the pause come? Now the question is why did this pause come in these figures and will it continue? Financial advisors say that they are not at all worried about this change and they explain it by saying that the reason for this slight decline has been some special circumstances. AMFI CEO Venkat Chalasani told CNBC-TV18, "SIP inflows remained above Rs 25,000 crore in November, which shows investors' commitment towards long-term financial goals despite market volatility." Hitesh Thakkar, CEO of ITI Mutual Fund, said that the mutual fund industry is growing steadily and the contribution of SIPs to AUM (Assets Under Management) is significant. Akhil Chaturvedi of Motilal Oswal AMC said that due to market volatility in November, investors have shown caution and turned towards small-cap funds. Investment in equity funds declined by 14.1% in November, from Rs 41,865 crore in October to Rs 35,927 crore. This decline shows the impact of the market, which changed the behavior of investors.
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