SIP Flows in August at ₹32,297 Crore; SIP stoppage tapers further
SIP Flows in August at ₹32,297 Crore; SIP stoppage tapers further MONTHLY SIP FLOWS GET TO NEW ALL-TIME HIGHS After a gap of 5 months, gross monthly SIP flows again crossed the ₹32,000 crore mark. March 2026 was the last time that SIP…
SIP Flows in August at ₹32,297 Crore; SIP stoppage tapers further
MONTHLY SIP FLOWS GET TO NEW ALL-TIME HIGHS
After a gap of 5 months, gross monthly SIP flows again crossed the ₹32,000 crore mark. March 2026 was the last time that SIP flows had crossed the mark. At ₹32,297 crore, the August 2026 gross SIP flows seem to have finally broken new ground. It remains to be seen if this momentum can be sustained. With the SIP stoppage falling to under 90%, there are the first signs of retail money getting back into SIPs in a big way. There were 2 key triggers in August.
Firstly, mutual funds seem to have benefitted from rising uncertainty in direct equity markets. With geopolitical risk, high crude prices, and rising market participation costs; investors are again veering towards mutual funds for stability. That is a good retail trend. Secondly, SIP flows are getting more nuanced. Alpha flows are going into small and mid-cap funds; while large cap allocations are moving to index funds, index ETFs and flexi-cap funds. Here is a 13-month view.
| MonthlyMF Data | Monthly SIP Inflows(₹ Crore) | SIP AUM(₹ Crore) | SIP Flow / SIP AUM(% Ratio) |
|---|---|---|---|
| Aug-26 | 32,297 | 18,61,652 | 1.73% |
| Jul-26 | 31,961 | 18,19,542 | 1.76% |
| Jun-26 | 31,781 | 17,70,482 | 1.80% |
| May-26 | 30,954 | 17,12,126 | 1.81% |
| Apr-26 | 31,115 | 16,85,126 | 1.85% |
| Mar-26 | 32,087 | 15,10,943 | 2.12% |
| Feb-26 | 29,845 | 16,64,085 | 1.79% |
| Jan-26 | 31,002 | 16,36,082 | 1.89% |
| Dec-25 | 31,002 | 16,63,369 | 1.86% |
| Nov-25 | 29,445 | 16,52,665 | 1.78% |
| Oct-25 | 29,529 | 16,25,305 | 1.82% |
| Sep-25 | 29,361 | 15,52,303 | 1.89% |
| Aug-25 | 28,265 | 15,18,368 | 1.86% |
Data Source: AMFI
The SIP AUM at ₹18.62 Trillion as of August-end saw a bounce of +2.31% over July and an overall gain of 23.21% from the recent lows of March 2026. A similar trend was also visible in the overall AUM of Indian mutual funds; with the overall AUM getting back to new highs.
FOLIO ACCRETION POINTERS IN AUGUST 2026
SIP data over two months can be seen either in terms of change in the SIP folios or in terms of SIP AUM. Here is a look at both perspectives. While SIP folios are a better indicator of retail spread, the SIP AUM is a better indicator of value heft. With the SIP Stoppage Ratio falling to 81.1% in August, the total SIP folios expanded from 1,062.74 Lakh folios in July 2026 to 1,075.32 Lakh folios in August 2026. That is MOM folio expansion of +1.18%.
Let us also talk about how SIP AUM moved. Between July 2026 and August 2026, SIP AUM bounced from ₹18,19,542 Crore to ₹18,61,652 Crore. The higher SIP AUM can be attributed to the strong flows into equity funds, even as the market indices were under pressure in August. Retail investors are also turning optimistic, as elaborated earlier.
SIP STOPPAGE – AUGUST INCHES TO 80%; FY27 NOW BELOW 90%
One of the key ratios in understanding stickiness of SIP clients is the SIP Stoppage Ratio (Ratio of Discontinued SIPs to New SIPs). Here is a quick month-wise and year-wise snapshot.
| Apr-25 | May-25 | Jun-25 | Jul-25 | Jul-25 | Aug-25 | Sep-25 | Oct-25 | Nov-25 | Dec-25 |
|---|---|---|---|---|---|---|---|---|---|
| 352.79% | 72.12% | 77.77% | 62.66% | 62.66% | 74.51% | 76.27% | 74.85% | 75.57% | 85.30% |
| Jan-26 | Feb-26 | Mar-26 | FY26 | Apr-26 | May-26 | Jun-26 | Jul-26 | Aug-26 | FY27 # |
| 74.83% | 75.62% | 101.06% | 94.51% | 101.06% | 95.46% | 91.23% | 81.87% | 81.05% | 89.43% |
Data Source: AMFI (for 5 months Apr-Aug)
Between FY25 and FY26, the SIP stoppage ratio had gone up sharply from 75.63% to 94.51%. This picture is not exactly conclusive, since the surge in SIP stoppage ratio in calendar 2025 was due to the SIP clean-up taken up by SEBI. In the 5 months of FY27, the SIP stoppage ratio has averaged 89.43%, with FY27 showing a tapering trend for SIP stoppage.
However, the SIP stoppage ratio still remains substantially higher than the previous median levels of 45% to 50%. Even at the peak of the COVID pandemic, the SIP Stoppage did not cross 65%. Today, due to a boom in SIP folios, we find the impact of macro uncertainty being more pronounced on SIP Stoppage ratio.
PRODUCTIVE SIP RATIO STEADY IN AUGUST 2026
The Contributing SIP ratio is the ratio of SIP folios that contribute flows to the overall SIP AUM. That ratio touched its lowest level in the last one year in the month of February 2026. However, the Contributing SIP Folio Ratio has been steady in the last 3 months above 93%.
| TransactionMonth | OutstandingSIP Folios | ContributingSIP Folios | Contributing SIPFolio Ratio |
|---|---|---|---|
| Aug-26 | 1,075.32 | 1,001.79 | 93.16% |
| Jul-26 | 1,062.74 | 990.21 | 93.18% |
| Jun-26 | 1,051.59 | 978.30 | 93.03% |
| May-26 | 1,046.72 | 964.06 | 92.10% |
| Apr-26 | 1,044.26 | 964.91 | 92.40% |
| Mar-26 | 1,044.84 | 971.86 | 93.02% |
| Feb-26 | 1,045.40 | 944.48 | 90.35% |
| Jan-26 | 1,029.38 | 992.19 | 96.39% |
| Dec-25 | 1,010.73 | 979.00 | 96.86% |
| Nov-25 | 1,001.84 | 942.52 | 94.08% |
| Oct-25 | 987.88 | 945.20 | 95.68% |
| Sep-25 | 972.74 | 925.21 | 95.11% |
| Aug-25 | 959.04 | 898.70 | 93.71% |
Data Source: AMFI
The Productive SIP ratio depicts the ratio of SIP folios actually giving business on a consistent basis out of the total outstanding SIP folios. These are the SIP folios that truly matter and have benefited from the SIP folio cleanup taken up in early 2025. This Productive SIP ratio used to average around 70-75% prior to the folio clean-up; but has improved to above 90% consistently in last 1 year. In fact, the 1-year SIP productivity average has been 93.8%.
There is a tinge of irony here. SIP is actually a solution, but most customers treat as a product. Hence, a number of competing products have reduced the allure of SIP investing. These competing products including non-MF investing, direct investing in equities, lumpsum MF investing, SIPs on direct equities, and alternate assets. More retail investors have to buy into SIPs, not only for rupee cost averaging, but also for goal management. That shift holds the key to sustained popularity of SIPs.
Want help choosing funds that suit your goals?
Start with Tick FundsDisclaimer: Mutual fund investments are subject to market risks; read all scheme-related documents carefully. SERNET is an AMFI-registered mutual fund distributor and receives commission from fund houses.
Was this article helpful?