As many as 57.5 lakh SIPs (systematic investment plans) were closed in the month of February as investor sentiment remained under pressure due to sustained sell-offs in the equity market. The number of new SIPs registered during the month stood at 44.56 lakh, which pushed the SIP closure ratio to 122% for February against 109% in January, AMFI data showed.

In January, 61.33 lakh investors preferred to stop their SIPs against new registrations of 56.19 lakh new accounts, showing an SIP closure ratio of 109, according to the AMFI data released on March 12.

With 54.7 lakh SIP accounts closed in February, more investors preferred to stop their SIP investments than registering new ones for the second straight month.

In the previous month (December 2024), the number of new SIP registrations, 54.27 lakh, exceeded the number of accounts closed at 44.91 lakh.

In terms of volume, SIP inflows fell to a three-month low of Rs 25,999 crore in February from Rs 26,400 crore in January. In December, total SIP inflows stood at Rs 26,459 crore.

With this, the number of contributing SIP accounts now stands at 8.26 crore at the end of February.

Also read: SIP inflows slump to 3-month lows: 4 key takeaways from February Mutual Fund industry action

Commenting on SIP data for February, Anand Vardarajan, Chief Business Officer, Tata Asset Management, said, “SIP numbers have remained strong and encouraging. While there was a marginal drop in February, this could be attributed to fewer days in the month; otherwise, it would have been on par with January.”

Overall, in February 2025, net equity mutual fund inflows remained positive for the 48th consecutive month at Rs 29,303.34 crore. This showed a 26% decrease from the previous month in net inflows.

Also read: Equity mutual fund inflows decline 26% in February 2025 amid stock market meltdown: AMFI

“This decline occurred during a period of significant market correction due to multiple external factors primarily global trade tensions created by uncertainty on U.S. tariffs. This resulted in the benchmark BSE Sensex TRI experiencing a month-on-month decline of over 5.5%. Gross equity inflows also saw a reduction of 18%, decreasing from Rs 66,630 crore in January 2025 to Rs 54,428 crore in February 2025,” said Jatinder Pal Singh, CEO, ITI Mutual Fund.