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SIP stoppage ratio hits new peak in May

India covid-19 crisis
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₹8,000 crore mark despite the equity markets nose-diving post the covid-19 crisis. The net inflow figure dipped marginally from ₹8,376 crore in April to ₹8,123 crore in May, although the drop compared to March level is a more significant 6%.However, another measure of SIPs shows more alarming signs.

The ratio of SIPs stopped as a percentage of fresh SIPs registered (SIP stoppage or closure ratio) hit 81%, a 15-month high.

Most of this spike was due to existing SIPs being discontinued. The SIP stoppage ratio was 71% in March and 72% in April 2020.According to data from the Association of Mutual Funds in India (Amfi), the number of discontinued SIPs rose from 540,000 to 652,000, a 20% jump over a month.

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COVID-19
United States
United States
Cases: 46 252 513
Deaths: 750 423
Recovered: 0
India
India
Cases: 34 321 025
Deaths: 459 652
Recovered: 0
Brazil
Brazil
Cases: 21 835 785
Deaths: 608 235
Recovered: 0
United Kingdom
United Kingdom
Cases: 9 215 683
Deaths: 141 607
Recovered: 0
Russia
Russia
Cases: 8 494 589
Deaths: 237 619
Recovered: 0
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