SIP’s shining is slow

stock market news

Mumbai: The SIP, which has been growing rapidly since the last few years, through the systematic investment plan i.e. SIP, SIP is now losing its shine. However, in comparison to January, Rs 8,095 crore came through SIP, but 4.96 lakh SIP accounts have been reduced from the mutual fund industry.
Statistics show that in February 2019, there were a total of 2.59 crore SIP accounts, out of which 4.96 lakh accounts were reduced. Similarly, 5.36 lakh accounts were reduced in January and 5.36 lakh accounts were reduced in December 2018. Similarly, 4.44 lakh accounts were reduced in November 2018, 4.66 lakh in October and 4.79 lakh accounts in September. I.e., from April 2017 to March 2018, out of total 2.11 crore SIP accounts, about 35 lakh accounts were reduced and during this period, the total amount of Rs 67,190 crore came from SIP.
The reason for this shortage of SIP accounts in the Indian mutual fund has fluctuated in the stock market and in some SIP investors also suffered losses. Generally, 10 lakh SIP accounts were opened in the mutual fund, but since the Supreme Court has ordered the Aadhaar, it has reduced to 7 lakhs. This means that PAN card is mandatory for all the investors KYC, whereas the first was the basis.
Liquid caps, mid-cap and small-cap mutual fund categories of mutual funds have given negative returns last year. The schemes of Equity Linked Savings Scheme (ELSS) and equity funds have given 17 per cent deficit on monthly basis in February, while asset management (AUM) of the entire industry is Rs 23.16 lakh crore.