SIP Investments Reach Historic High of Rs 3.34 Lakh Crore in 2025
Mutual fund investments through systematic investment plans, or SIPs, have climbed to an unprecedented level. In 2025, total SIP contributions hit Rs 3.34 lakh crore. This marks a significant jump from previous years. Investors poured Rs 2.68 lakh crore through SIPs in 2024 and Rs 1.84 lakh crore in 2023. The Association of Mutual Funds in India, known as AMFI, released this data.
Investors Show Long-Term Confidence
Feroze Azeez, Joint CEO at Anand Rathi Wealth, commented on the trend. He said the figures reflect strong investor intent. "The data suggests that investors have consistently used market corrections as opportunities to invest more," Azeez explained. "Total SIP contributions of Rs 3.34 lakh crore in CY25 reflect long-term intent and confidence, rather than short-term speculation."
SIP contributions formed the backbone of mutual fund flows throughout the year. Monthly contributions consistently exceeded Rs 29,000 crore in September, October, and November. December saw a peak, with SIP inflows reaching a record Rs 31,000 crore.
Discipline and Rupee Cost Averaging Drive Popularity
Industry experts point to several reasons for SIPs' growing appeal. SIPs help investors practice rupee cost averaging. This method reduces the impact of market volatility. Investors can invest regularly without worrying about timing the market.
A Balasubramanian, Managing Director and CEO of Aditya Birla Sun Life AMC, highlighted this disciplined approach. He noted that continued SIP investments, even during global volatility, indicate rising financial awareness. "This reflects disciplined investing," Balasubramanian said.
Ankur Punj, MD and Business Head at Equirus Wealth, offered similar insights. He suggested that sticking with SIPs, diversifying across asset classes, and aligning investments with long-term goals prove more effective than trying to time markets. This is especially true in an uncertain global environment.
Strong Inflows Boost Industry Assets
Overall, net inflows into equity-oriented schemes reached Rs 3.8 lakh crore. Strong SIP contributions and sustained confidence in India's long-term growth story drove these inflows.
These substantial inflows lifted the mutual fund industry's assets under management, or AUM. The AUM grew by 21 percent, from Rs 67 lakh crore at the end of 2024 to Rs 80.23 lakh crore by December 2025.
Industry Outlook Remains Positive
Venkat Chalasani, Chief Executive Officer of AMFI, expressed optimism about the industry's future. He stated that steady SIP inflows continue to offset foreign portfolio investor outflows. This strengthens market resilience.
"Systematic investing continues to be a strong anchor for flows," Chalasani told PTI. "SIPs provide stability during periods of uncertainty."
Understanding SIPs
For those unfamiliar, a systematic investment plan is a tool offered by mutual funds. It allows individuals to invest a fixed amount in a chosen scheme at regular intervals, like once a month. This contrasts with lump-sum investments. SIP instalments can start as low as Rs 250 per month, making them accessible to many investors.
