New Delhi [India], November 3 : More than 100 million systematic investment plan (SIP) accounts actively contributed to mutual funds, highlighting sustained retail investor participation despite subdued equity market conditions, according to a report by Centrum.
The number of contributing SIP accounts stood at 100.6 million in September, while total SIP accounts reached 108.9 million, reflecting the continued expansion of systematic investments.
The report also highlighted an improvement in the SIP discontinuation ratio, which declined to 79 per cent in September from 82 per cent in July.
Centrum said, "The SIP discontinuation ratio improved to 79 per cent in Sep’26 from 82 per cent in Jul’26, indicating sustained retail investor commitment."
Regular monthly investments through SIPs remained a key source of mutual fund inflows during the July-September quarter. Average monthly SIP collections increased 12 per cent year-on-year to Rs 322 billion in Q2FY27, compared with Rs 287 billion in the corresponding quarter of the previous financial year.
For the first half of FY27, average monthly SIP collections rose 14 per cent year-on-year to Rs 318 billion. Sustained contributions also supported growth in SIP assets under management (AUM), which increased to Rs 17.9 trillion in September 2026 from Rs 15.5 trillion in September 2025.
The broader mutual fund industry also recorded growth during the quarter despite weakness in equity markets. Industry quarterly average assets under management (QAAUM) increased 5 per cent quarter-on-quarter and 13 per cent year-on-year to Rs 87 trillion.
Industry net inflows stood at Rs 1.4 trillion during Q2FY27, with equity-oriented schemes accounting for Rs 1.2 trillion. Mid- and small-cap funds continued to attract investor interest, while debt schemes recorded outflows of Rs 607 billion.
Passive investment products also remained an important contributor, with exchange-traded funds (ETFs) attracting inflows of Rs 427 billion. The industry's asset mix remained broadly stable, with equity-oriented schemes accounting for 58 per cent of assets, ETFs around 18 per cent and debt schemes 14 per cent.
For the listed asset mutual fund companies (AMCs) the report mentioned that they continued to demonstrate resilience in Q2FY27, supported by healthy industry flows despite subdued equity markets.
However, the report stated that the growth remained divergent across players, with overall QAAUM growth ranging from 4 per cent to 20 per cent YoY, against benchmark returns of +7 per cent to -8 per cent.
Centrum said the mutual fund industry's performance remained resilient, supported by healthy flows, while the outlook continued to be positive.