The new year has started on a good note for the industry. Inflows from systematic investment plans (SIP) increased from Rs 8,022 crore in December 2018 to Rs 8,064 crore in January 2019. During this period, the SIP accounts increased by three lakhs from 2.54 crore to 2.57 crore.
AMFI data shows that the industry has added about 9.31 lacs SIP accounts each month on an average during FY 2018-19, with an average SIP size of about Rs 3,150 per folio. Industry experts say that more number of players extolling the virtues of SIPs, adoption of technology, coupled with greater awareness is helping the industry increase its SIP coffers. As on January 2019, the total number of folios/accounts stood at 8.10 crore.
Monthly SIP contribution
Net inflows in equity funds are dipping
While inflows through SIPs are increasing every month, the net inflows in pure equity funds (excluding balanced funds and ELSS) are on the decline. As can be seen from the table below, net inflows have almost halved from Rs 10,000 crore levels to Rs 5,000 crore this fiscal.
Overall, the industry received net inflows of Rs 65,439 crore in January 2019, largely on account of Rs 58,637 crore net inflows in liquid funds. The total AUM of the industry increased by 2% from Rs 22.85 lakh crore in December 2018 to Rs 23.37 lakh crore in January 2019.
