Mutual fund SIP inflows surge to Rs 3.34 lakh cr in 2025; contributions peaked in December

NEW DELHI: Mutual fund investment through systematic investment plans (SIPs) has surged to an all-time high of Rs 3.34 lakh crore in 2025, driven by growing investor appetite for disciplined, long-term wealth creation.

This came following investments of Rs 2.68 lakh crore through this route in 2024 and Rs 1.84 lakh crore in 2023, data from the Association of Mutual Funds in India (Amfi) showed.

"The data suggests that investors have consistently used market corrections as opportunities to invest more. Total SIP contributions of Rs 3.34 lakh crore in CY25 reflect long-term intent and confidence, rather than short-term speculation," said Feroze Azeez, Joint CEO, Anand Rathi Wealth.

SIP contributions remained the backbone of mutual fund flows, consistently crossing Rs 29,000 crore in September, October and November, and peaking at an all-time high of Rs 31,000 crore in December.

Industry experts believe that SIPs have been gaining popularity among investors, as they help with Rupee Cost Averaging and investing in a disciplined manner without worrying about market volatility or timing the market.

A Balasubramanian, Managing Director & CEO, Aditya Birla Sun Life AMC, said that continued SIP investments, even amid global volatility and market fluctuations, point to rising financial awareness, reflecting disciplined investing.

Ankur Punj, MD - Business Head, Equirus Wealth, suggested that continuing SIPs, diversifying across asset classes and aligning investments with long-term goals will be far more effective than trying to time markets in an uncertain global environment.

Overall, net inflows into equity-oriented schemes stood at Rs 3.8 lakh crore, which was driven by strong SIP contributions and continued confidence in India's long-term growth story.

These inflows lifted the industry's assets under management (AUM) by 21 per cent from Rs 67 lakh crore at the end of 2024 to Rs 80.23 lakh crore by December-end.

Venkat Chalasani, Chief Executive Officer of AMFI had said that the mutual fund industry's outlook remains positive, with steady SIP inflows continuing to offset foreign portfolio investor outflows and strengthening market resilience.

"Systematic investing continues to be a strong anchor for flows, with SIPs providing stability during periods of uncertainty," he had told PTI.

Notably, SIP is an investment tool offered by mutual funds that allows an individual to invest a certain amount in a chosen scheme at fixed intervals, such as once a month, instead of a lump-sum investment. SIP instalments can be as small as Rs 250 per month.