Mutual Fund Investments Analyzed: A Look at SIPs
Investors are putting more and more money into mutual funds (specifically, ones that invest in stocks) using a strategy called “Systematic Investment Plans,” or SIPs. In 2025, over ₹3 trillion (that’s a huge amount!) was invested through SIPs, marking the first time this has happened in a whole year. This is happening because the stock market has been a little unpredictable, and people want to slowly build their investments over time.
Key Points
- ₹3 trillion invested in MF SIPs in 2025 – a new record.
- SIPs are popular due to market volatility and long-term growth.
- Equity schemes get 80% of SIP investments, driven by investor preference.
- SIPs make up 37% of equity inflows, a significant increase.
- Investor discipline grows as SIPs help manage market fluctuations.
- Industry AUM boosted by SIPs, accounting for over 20%.
While some investors still put money in all at once (“lump-sum” investments), the trend is clearly towards SIPs. Lump-sum investments were ₹3.9 trillion, but this was less than last year. SIPs, however, jumped 3% to ₹2.3 trillion.
A lot of this money is going into equity schemes, which are riskier investments. People choose SIPs for these types of investments because they help them invest regularly, even when the market is going up and down. In fact, 37% of all money going into stock mutual funds was through SIPs this year, compared to 27% last year.
Even though fewer people are starting new mutual fund accounts (only 100 million active SIP accounts in November 2025), the amount of money being invested through SIPs is still growing. This is a good thing for the mutual fund industry, which is one of the strongest ways to save for the future.
The total money managed by mutual funds (called “Assets Under Management” or AUM) has increased thanks to these SIP investments. By November 2025, SIPs managed over ₹16.53 trillion of the industry’s assets.
“SIPs are India’s preferred long-term wealth-building habit, helping investors maintain discipline through market volatility while steadily deepening equity participation across market cycles.” – Venkat Chalasani, Amfi
