SIP soars beyond city limits: Small towns lead in account additions

SIP account additions and SIP inflows from B30 have been growing at a faster pace than from T30

Mutual funds (MFs) are seeing higher growth in new systematic investment plan (SIP) accounts in rural areas (beyond 30 or B30 centres) compared to the top 30 (T30) cities. However, the average inflows from these areas remain significantly lower than those from the larger centres.

Data from the Association of Mutual Funds in India reveals that investors from B30 contributed Rs 1,725 on average to MFs through SIPs, which is 70 per cent lower than the average ticket size of T30 investors at Rs 2,940.

In October, B30 investors made a gross investment of Rs 6,436 crore through 37.3 million