SIP Inflow Feb 2024- Mutual fund houses are promoting SIP as an accessible and disciplined investment option for both experienced investors and new investors.
The number of investors investing in mutual funds in India is continuously increasing. Systematic Investment Plan i.e. SIP for investing in mutual funds is very much liked by the investors. This is why SIP Inflow reached its highest ever level in February 2024 and crossed the figure of ₹ 19,000 crore. SIP inflows last month stood at ₹19,187 crore, which shows a significant increase from ₹18,838 crore in January, 2024.
According to data from the Association of Mutual Funds of India (AMFI), February is the 36th consecutive month when equity inflows have been seen. AMFI data shows that equity inflow has increased to ₹ 26,703.06 crore in February. Whereas, in the month of January it was at the level of ₹ 21,749 crore. The special thing is that there was strong investment in small cap and midcap funds last month, while the market regulator Securities and Exchange Board of India (SEBI) sees a danger of increasing risk in both of them.
Why is SIP becoming popular?
Financial experts believe there are several reasons for this surge in SIP inflows. The inflows are continuously increasing due to increasing awareness about long-term wealth creation, ease of investing through SIP and changing perception of people about the stock market. Mutual fund houses are also promoting SIP as an accessible and disciplined investment option for both experienced investors and new investors.
Where did investors put how much money?
Last month in February, investment in open-ended equity funds reached Rs 26,865.78 crore. Talking about the fixed income segment, the investment in debt funds was only Rs 63,809 crore in February as compared to the investment of Rs 76,469 crore in January.
Apart from this, investment of Rs 3,029 crore also came in corporate bond category. There was a withdrawal of Rs 4100 crore from short-term funds and a withdrawal of Rs 3610 crore from floater funds. Overall, there was a net investment of Rs 1.19 lakh crore in open ended mutual fund schemes last month.
