NEW DELHI: The mutual fund industry in the country has clocked 40 million unique investors as retail investments continue to show healthy growth. Contributions under systematic investment plan (SIP) touched an all-time high of Rs 16,042 crore in September 2023, according to the monthly data released by the Association of Mutual Funds in India (Amfi).
The net asset under management (AUM) of the industry at the end of September touched 46.58 lakh crore, showing 17% year-on-year growth.
“The mutual fund industry crossing the four crore unique investors mark is a testament to Indian retail investors’ participation in the equity markets via mutual fund route. This is further demonstrated by the SIP contribution of Rs 16,042.06 crore in September 2023, which is the highest till date,” says NS Venkatesh, CEO, AMFI.
Mutual fund folios reached an all-time high of Rs 15.71 crore in September 2023 as against Rs 15.42 crore in August 2023. Retail folios (equity + hybrid + solution oriented schemes) are at an all-time high at 12.55 crore in September as against 12.30 crore in August.
Retail AUM stood at Rs 25.38 lakh crore in September. The number of SIP accounts stood highest ever at Rs 7.13 crore in September as against 6.97 crore in August 2023. SIP AUM stood at Rs 8.70 lakh crore. Net inflow in equity funds in September were Rs 14,000 crore, 30% lower than in August.
“The inflows have slowed down compared to last month but are still positive at Rs 14,000 crore. The valuation of the market is not cheap and investors are waiting on the sidelines to use any downside to increase allocation,” says Mukesh Kochar, National Head of Wealth at AUM Capital.
Inflows data show investors’ confidence in mid and small-cap funds have not waned yet as both the category funds saw over Rs 2,000 crore net inflows in September.