April SIP flows at ₹26,632 Crore; SIP stoppage spikes to 298%

13 May 2025 , 02:31 PM

APRIL 2025 SEES MASSIVE CONTRACTION IN SIP FOLIOS

For April 2025, gross SIP flows touched an all-time high of ₹26,632 Crore. Since December 2024, gross SIP flows had progressively edged lower to ₹25,926 in March 2025, so this is a welcome change. For the full fiscal FY25; SIP flows averaged ₹24,113 Crore a month; and the April SIP inflow of ₹26,632 Crore betters that by 10.4%. On the positive side, gross SIP flows have now held above ₹25,000 Crore for 7 months in a row. Total mutual fund folios stand at 23.63 Crore as of Mar-25; of which SIP folios are 9.14 Crore (38.7%). In April 2025 alone, SIP folios contracted by a massive 90.98 Lakh folios due to the spike in SIP stoppage ratio.

ANNUAL SIP FLOW GROWTH STAYS ROBUST

The progressive fall in monthly SIP flows between Dec-24 and Mar-25 was arrested in April as the flows bounced back. Gross SIP flows in April 2025 were a full 30.7% above April 2024.

Monthly MF Data	Monthly SIP Inflows (₹ Crore)
Apr-24	20,371
May-24	20,904
Jun-24	21,262
Jul-24	23,332
Aug-24	23,547
Sep-24	24,509
Oct-24	25,323
Nov-24	25,320
Dec-24	26,459
Jan-25	26,400
Feb-25	25,999
Mar-25	25,926
Apr-25	26,632

Data Source: AMFI

Gross SIP flows into mutual funds averaged ₹24,113 Crore in FY25; the best in comparison to the previous 8 years. It is quite surprising that, despite the spike in SIP stoppage ratio, the gross SIP flows continue to be robust in FY26 also. This can be attributed to a mix of SIP planning approach towards mutual funds, and a surge in millennials as MF investors.

FY25: NEW PEAK FOR GROSS SIP FLOWS ONCE AGAIN

The table captures month-wise SIP flows into mutual funds since April 2017. Each milestone of an additional ₹1,000 Crore has been highlighted in bold.

Month	FY26	FY25	FY24	FY23	FY22	FY21	FY20	FY19	FY18
March		25,926	19,271	14,276	12,328	9,182	8,641	8,055	7,119
February		25,999	19,187	13,686	11,438	7,528	8,513	8,095	6,425
January		26,400	18,838	13,856	11,517	8,023	8,532	8,064	6,644
December		26,459	17,610	13,573	11,305	8,418	8,518	8,022	6,222
November		25,320	17,073	13,306	11,005	7,302	8,273	7,985	5,893
October		25,323	16,928	13,041	10,519	7,800	8,246	7,985	5,621
September		24,509	16,042	12,976	10,351	7,788	8,263	7,727	5,516
August		23,547	15,814	12,693	9,923	7,792	8,231	7,658	5,206
July		23,332	15,245	12,140	9,609	7,831	8,324	7,554	4,947
Jun		21,262	14,734	12,276	9,156	7,917	8,122	7,554	4,744
May		20,904	14,749	12,286	8,819	8,123	8,183	7,304	4,584
April	26,632	20,371	13,728	11,863	8,596	8,376	8,238	6,690	4,269

Data Source: AMFI

Here are two takeaways from the 8-year SIP flow data.

1. Fiscal year FY25, till date, is already the best year in terms of milestones, with 6 milestone months achieved; better than the 5 milestone months in FY24. Despite a new high in SIP flows in April, no new milestone was created. 
2. With average SIP flows at ₹24,113 Crore in FY25, a logical target would be to average over ₹30,000 Crore of gross SIP flows a month in FY26. Based on April data, that looks plausible, although a lot will depend on how the SIP stoppage ratio is handled.

Let us now get into the SIP story in greater detail. 

READING BETWEEN THE LINES OF THE SIP TICKET STORY?

Since FY22, SIP flows have been progressively improving each year; with FY25 being the best year by a margin. 

Financial Year	Gross Annual SIP flows (₹ Crore)	Average Monthly SIP Ticket (AMST)	YOY Accretion in (%)
FY16-17	₹43,921 Crore	₹3,660 Crore
FY17-18	₹67,190 Crore	₹5,600 Crore	53.01%
FY18-19	₹92,693 Crore	₹7,725 Crore	37.95%
FY19-20	₹100,084 Crore	₹8,340 Crore	7.96%
FY20-21	₹96,080 Crore	₹8,007 Crore	-3.99%
FY21-22	₹124,566 Crore	₹10,381 Crore	29.65%
FY22-23	₹155,972 Crore	₹12,998 Crore	25.21%
FY23-24	₹199,219 Crore	₹16,602 Crore	27.73%
FY24-25	₹289,352 Crore	₹24,113 Crore	45.24%
FY25-26	₹319,584 Crore	₹26,632 Crore	10.45%

Data Source: AMFI

If you look at the yoy growth in average SIP ticket size, the FY25 growth is substantially than the average of the previous 3 fiscal years. The FY26 growth rate may need more data points as we have annualized just a single month of gross SIP flows.

SIP FOLIOS CONTRACT SHARPLY IN APRIL 2025

SIP folios contracted for fourth month in a row due to SIP Stoppage Ratio touching 298%. Gross SIP accretions in April 2025 were higher MOM at 46.01 Lakhs. This is still lower compared to 56.19 Lakhs in Jan-25 and 54.27 Lakhs in Dec-24. However, due to the SIP stoppage ratio at 298%, the outstanding SIP folios decreased from 1,005.39 Lakhs in March 2025 to 914.41 Lakh folios in April 2025. Net reduction was (90.98) Lakh SIP folios or -9.05%. Since December 2024, SIP folios contracted by (117.62) Lakhs, or -11.4%.

What about SIP AUM yoy? Between March 2025 and April 2025, the SIP AUM bounced from ₹13,35,188 Crore to ₹13,89,655 Crore; a bounce of 4.08% on sequential basis. While the bounce in the Nifty and Sensex helped the SIP AUM bounce back, the real problem is with contracting SIP folios. As of the close of March 2025, the SIP folios accounted for 38.7% of total MF folios while the SIP AUM accounted for 19.9% of overall MF AUM. We await data on unique investors to check how 1.18 crore SIP folios have vanished in 4 months.

SIP STOPPAGE RATIO – TANTALIZINGLY CLOSE TO 300%

AMFI reports monthly SIP flows on a gross basis. That gap between gross and net SIP flows is explained by SIP stoppage ratio; the ratio of SIP accounts discontinued to new SIP accounts opened. SIP Stoppage ratio in the last 4 months has been; 109.15%, 122.76%, 128.27%, and 297.74% in April 2025.

Apr-24	May-24	Jun-24	Jul-24	Aug-24	Sep-24	Oct-24
52.24%	88.38%	58.68%	51.40%	57.14%	60.72%	60.91%
Nov-24	Dec-24	Jan-24	Feb-24	Mar-24	FY25	Apr-25
79.12%	82.73%	109.15%	122.76%	128.27%	75.63%	297.74%

Data Source: AMFI

Since July, SIP stoppage ratio is consistently rising; due to the sense of uncertainty at higher levels of the market and in the light of the sell-off by FPIs. However, in April 2025, the SIP stoppage ratio has spiked to an unbelievable 298% as the reciprocal tariffs and the Indo-Pak border classes added another layer of uncertainty to flows.

FY26 BEGINS WITH A SHOCKING SPIKE IN SIP STOPPAGE RATIO

Here is the SIP stoppage ratio in last 6 completed  fiscal years, including FY25.

FY 2019-20	FY 2020-21	FY 2021-22	FY 2022-23	FY 2023-24	FY 2024-25	FY 2025-26
57.84%	60.88%	41.74%	56.94%	52.41%	75.63%	297.74%

Data Source: AMFI

Remember, SIP stoppage ratio for FY25 was already well above the COVID pandemic levels. FY26 data has only 1-month SIP flow data and could distort a longer term view. However, the sheer thought of 1.18 Crore folios vanishing into thin air is rather scary. The good news is; despite the sharp contraction in SIP folios, overall mutual fund folios have grown. That shows addition to debt folios and also some shift from SIPs to lumpsum investing. The overall folio growth has only slowed, despite SIP folios contracting sharply. That gives some solace, but anything as abnormal as 298% SIP stoppage is worrying!