5 KEY DRIVERS FUELING THE SURGE IN MUTUAL FUND SIP INFLOWS
Published By MintGenie Team | 28 Feb, 2024
Investments in mutual fund systematic investment plans surged to ₹18,838 crore in January 2024, marking a remarkable 36% increase in a span of one year.
Credit : PIXABAY
Here are the key reasons driving the spike:
Bull Run Attraction
Many investors are capitalizing on the bullish market conditions by actively participating in equity schemes during the current rally.
Disciplined Investing
Investors are gaining substantial profits, reinforcing the practice of disciplined investing, with SIPs becoming increasingly popular for their benefits in risk management and Rupee Cost Averaging.
Credit : PIXABAY
Awareness Initiatives
Ongoing awareness campaigns are contributing to educating investors about the advantages of consistent investing through Systematic Investment Plans.
Credit : PIXABAY
Focus on Long-term Goals
Individuals with long-term financial objectives are boosting their exposure to equities and mutual funds, resulting in continual increases in SIP amounts.
Rise in Retail Participation
The surge in mutual fund investors is primarily driven by retail participants, with the latest AMFI data indicating that 88% of assets in equity-oriented schemes are sourced from individual investors.