India's monthly SIP book hits ₹30,954 crore, grows 10x in a decade
Synopsis
India's SIP book has grown tenfold in a decade to ₹30,954 crore — but the real story is under the surface. Discontinuations at 51.7 lakh nearly matched new registrations of 54.2 lakh in May 2026, the closest the gap has ever been. The decade of SIP expansion may be entering a consolidation phase, and the retention challenge is now as urgent as the growth story.
Key Takeaways
India's monthly SIP book grew from ₹3,189 crore in May 2016 to ₹30,954 crore in May 2026 — a nearly tenfold rise over a decade.
Outstanding SIP accounts reached 1,047 lakh in May 2026, up over 15 per cent year-on-year .
Net new SIP additions recovered to just 2.5 lakh in May, after -0.6 lakh in both March and April 2026.
New registrations stood at 54.2 lakh vs discontinuations of 51.7 lakh , signalling rising churn.
Mutual fund industry AUM stood at ₹81.6 lakh crore ; SIP assets were valued at ₹17.12 lakh crore .
Gold ETFs saw net outflows of ₹725 crore in May, reversing the inflow trend seen earlier in 2026.
India's systematic investment plan (SIP) ecosystem has expanded nearly tenfold over the past decade, with the monthly SIP book climbing from ₹3,189 crore in May 2016 to ₹30,954 crore in May 2026, according to a report by ValueMetrics released on 14 June 2026. The growth has held through successive shocks — demonetisation, the Covid-19 pandemic, the Russia-Ukraine war, and global tariff headwinds — underscoring the durability of retail investor participation in Indian mutual funds.
SIP Account Growth and Churn
Outstanding SIP accounts crossed 1,047 lakh by end of May 2026, up more than 15 per cent year-on-year from 906 lakh in May 2025. However, the net new SIP addition recovered to just 2.5 lakh in May, a modest rebound after a near-zero net addition of -0.6 lakh recorded in both March and April 2026.
New SIP registrations in May stood at 54.2 lakh, against discontinuations and tenure completions of 51.7 lakh — signalling rising churn within the SIP base. Gross SIP registrations remain healthy at 5.2 per cent of outstanding accounts, but discontinuations at 5.0 per cent have nearly caught up, according to the ValueMetrics report.
Mutual Fund AUM and Equity Inflows
The mutual fund industry's total assets under management (AUM) stood at ₹81.6 lakh crore by the end of May. Active equity mutual funds recorded gross inflows of ₹57,604 crore during the month, while net inflows from active pure equity and hybrid funds combined reached ₹33,468 crore.
Active equity net flows alone stood at ₹22,908 crore, while hybrid funds — excluding arbitrage funds — attracted ₹4,862 crore in net inflows. SIP assets were valued at ₹17.12 lakh crore, reflecting the weight that this channel now carries within the broader mutual fund universe.
Gold ETF Reversal
Notably, gold ETFs recorded net outflows of ₹725 crore in May, reversing the strong inflow trend seen earlier in 2026. This comes amid a broader reallocation toward equity instruments as domestic market sentiment stabilised following earlier global volatility.
What the Numbers Signal
The near-convergence of gross registrations and discontinuations is the most consequential data point in the report. While the headline SIP book figure projects strength, the underlying churn suggests that the industry's next challenge is retention — not just acquisition. This is the first time in recent memory that the discontinuation rate has come this close to matching new registrations, raising questions about whether the decade-long SIP expansion is entering a consolidation phase. Analysts and industry bodies are expected to watch the June data closely for confirmation of the trend.
Point of View
The pipeline is effectively running to stand still. The two consecutive months of negative net additions in March and April 2026 are not statistical noise; they are a warning that the easy phase of SIP expansion — driven by first-time investors and digital onboarding — may be over. The harder work of financial education, goal-based investing, and investor handholding during volatility now determines whether India's mutual fund story sustains its decade-long arc or plateaus at current levels.
NationPress
12 Aug 2026
Frequently Asked Questions
How much has India's monthly SIP book grown over the last decade?
India's monthly SIP book grew from ₹3,189 crore in May 2016 to ₹30,954 crore in May 2026, a nearly tenfold increase over a decade, according to a ValueMetrics report. The growth has sustained through major disruptions including demonetisation, Covid-19, and global tariff headwinds.
What is the current level of SIP churn in India?
In May 2026, new SIP registrations stood at 54.2 lakh while discontinuations and tenure completions reached 51.7 lakh, resulting in a net addition of just 2.5 lakh accounts. Gross registrations at 5.2 per cent of outstanding accounts are nearly matched by discontinuations at 5.0 per cent.
What is India's total mutual fund AUM as of May 2026?
The mutual fund industry's total assets under management stood at ₹81.6 lakh crore by the end of May 2026. SIP assets specifically were valued at ₹17.12 lakh crore during the same period.
Why did gold ETFs see outflows in May 2026?
Gold ETFs recorded net outflows of ₹725 crore in May 2026, reversing the strong inflow trend seen earlier in the year. This is attributed to a broader reallocation toward equity instruments as domestic market sentiment stabilised.
What do active equity mutual fund inflows look like for May 2026?
Active equity mutual funds recorded gross inflows of ₹57,604 crore in May 2026, with net inflows from active pure equity and hybrid funds combined at ₹33,468 crore. Active equity net flows alone stood at ₹22,908 crore.
