Despite volatile domestic equity markets, with benchmark indices losing 14% since January, and growing scepticism around investments through SIPs, mutual fund investors continue to repose faith in Systematic Investment Plans (SIPs). Data from the Association of Mutual Funds in India shows that investments through SIPs remained strong in May 2026 at Rs 30,954 crore, only marginally lower than Rs 31,115 crore in April 2026. SIP assets stood at Rs 17.12 lakh crore in May 2026, constituting 21% of the industry's assets under management (AUM). The number of contributing SIP accounts stood at 9,64,06,465 in May 2026.
The month saw net inflows of Rs 22,900 crore into equity funds, lower than the Rs 38,440 crore recorded in April. Mid-cap and small-cap funds continued to remain popular among investors, attracting net inflows of Rs 4,385 crore and Rs 4,945 crore, respectively, in May. Equity funds have now recorded positive inflows for 63 consecutive months, beginning March 2021.
Following the Prime Minister's call to curb gold purchases, gold exchange-traded funds (ETFs) witnessed a net outflow of Rs 725 crore during the month, compared with a net inflow of Rs 3,040 crore in April. Several fund houses have also imposed temporary restrictions on investments in gold ETFs. HDFC Mutual Fund, ICICI Prudential Mutual Fund, Nippon India Mutual Fund and Tata Mutual Fund are among those that have restricted large lump-sum purchases of gold ETFs.
Meanwhile, mutual fund AUM stood at Rs 81.58 lakh crore in May, compared with Rs 81.92 lakh crore in April. The decline in AUM was primarily due to net outflows of around Rs 97,000 crore from debt funds.
Venkat Chalasani, Venkat Chalasani, chief executive of AMFI, said: "The mutual fund industry's AUM remained largely stable at Rs 81.58 lakh crore in May, witnessing a marginal contraction amid ongoing global uncertainties and commodity price volatility. With India's strong economic fundamentals, our focus remains on empowering investors with the knowledge to stay committed to their long-term financial goals."
