SIP Boom: Retail Investors Fuel Massive Surge in Mutual Fund Growth

The mutual fund industry saw unprecedented growth in new Systematic Investment Plan (SIP) registrations, with a record 1.67 crore accounts added in the quarter ending June 2025. This surge was driven primarily by resilient retail participation, even as market volatility persisted, according to the Association of Mutual Funds in India (AMFI).

Leading the charge was Groww, securing over 41.9 lakh new SIPs and gaining a market share of 25%. In June alone, the platform registered the highest monthly additions by any distributor, at 15.7 lakh SIPs. The growth continued despite the mid-single-digit returns from the Nifty 50 index.

June 2025 ranked as a record-breaking month for SIP inflows, standing at Rs 27,269 crore, with assets under management soaring to Rs 74.4 lakh crore. Industry experts suggest a growing shift among retail investors towards mutual funds for long-term wealth creation, supported by digital platform accessibility and widespread educational initiatives.

(With inputs from agencies.)