Monthly SIP contributions reached a record ₹32,490 crore in September 2026, representing an approximately 10.7% year-on-year increase from ₹29,361 crore in September 2025, according to AMFI data. The month-on-month increase of ₹193 crore from August 2026's ₹32,297 crore shows sustained momentum despite market volatility. The SIP stoppage ratio improved to 78.53% in September from 81.05% in August, indicating fewer SIPs were discontinued or completed during the month. The ratio has been declining since May 2026, when it stood at 95.46%, though it remains above the 76.27% recorded in September 2025. The share of active SIP folios in total mutual fund folios also dropped to 35.2% from 47% over the same period. Despite the growth slowdown, the absolute amount invested continues to expand, with monthly SIP contributions rising from ₹24,509 crore in September 2024 to the current record level. The number of SIP accounts reached approximately 10.06 crore during September, reflecting the breadth of systematic mutual fund participation across India.
The widening gap between total mutual fund folios and active SIP folios indicates that mutual fund industry growth is extending beyond regular SIPs. Mutual fund folios grew to 28.62 crore in September 2026, representing a 36% jump compared to the same period two years ago. Mutual fund assets surged to ₹82.64 trillion during this period from ₹67.09 trillion in September 2024. Active SIP folios grew modestly by 2% to 10.06 crore over the past two years, while monthly SIP contributions increased substantially from the previous year's level. The latest data shows approximately 63 lakh new SIP registrations in September 2026, demonstrating continued retail investor participation despite market challenges. Monthly SIP contribution data represent gross investments made through systematic plans, with equity mutual funds reporting net inflows of ₹38,307 crore during September, marking the 67th consecutive month of positive inflows. However, retail mutual fund assets under management across equity, hybrid and solution-oriented schemes declined to ₹49.70 lakh crore in September from ₹51.73 lakh crore in August.
Market volatility may be prompting investors with accumulated savings to consider lump-sum investments to take advantage of falling prices. The Nifty 50 has fallen 9.43% since the US-Iran war began on 28 February, touching 22,520.45 on 9 October. Turnover in the benchmark index has fallen 36.74% to ₹26,129.26 crore in the same period. As reported by Mint, "existing investors stay disciplined, but fresh retail participants—especially smaller investors—are stepping back," according to Ritesh Pathak, deputy chief business officer at Motilal Oswal Asset Management. However, investors continue to navigate market uncertainty through regular SIP contributions, demonstrating resilience in systematic investment approaches despite the challenging environment. The SIP stoppage ratio has been declining since May 2026, when it stood at 95.46%, indicating improved investor confidence in systematic investing despite market headwinds.
Industry experts attribute the slowdown to market conditions and changing investor behavior. "The data is more indicative of total mutual-fund folios growing faster than SIP accounts," said Akshy Rao, head of product and strategy at Tata Asset Management. "This rapid growth is being driven by a wider range of products and investor needs—ETFs, index funds, sectoral and thematic funds, debt funds, liquid funds and NFOs—where investments are often also made as lump sums or through non-SIP modes." Madhu Lunawat from The Wealth Company noted that "a 40-50% annual growth rate becomes progressively difficult to sustain as the base expands," with even a 14% growth rate representing an incremental annualized flow of roughly ₹48,000 crore. The latest data shows SIP assets under management at approximately ₹17.86 lakh crore at the end of September 2026, accounting for 21.6% of the mutual fund industry's total assets under management. The ratio of discontinued or completed SIPs to new registrations has been declining, with 49.68 lakh SIPs discontinued in September compared to 53.82 lakh in August, while new SIP registrations fell to 63.26 lakh from 66.40 lakh over the same period.
SIP growth is expected to revive at a moderate pace going forward. "I would expect SIP growth to revive, although probably at a more measured pace rather than through another sharp acceleration," said Pathak from Motilal Oswal Asset Management. "SIPs will remain the core wealth-creation route, while lump-sum flows will provide an additional avenue for investors deploying accumulated savings." However, Lunawat cautioned that "expecting a 40%-50% growth in SIPs is no longer realistic," citing substantial headroom for mutual fund penetration outside major cities and improved awareness of equity-oriented investments for long-term wealth creation. The sustained participation through regular SIP contributions despite market volatility demonstrates the growing importance of systematic investment approaches in India's investment landscape. As per Economic Times, Venkat Chalasani, Chief Executive at AMFI, noted that "mutual fund industry AUM declined 5.1% month-on-month to ₹82.64 lakh crore in September, primarily due to mark-to-market (MTM) losses and outflows from debt funds."
