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SIP closures in direct plans 2.6x higher than regular

Business Standard

|

June 24, 2025

The systematic investment plan (SIP) data for the first five months of 2025 highlights distinct investor behaviour based on location and investment mode.

- ABHISHEK KUMAR

SIP closures in direct plans 2.6x higher than regular

In smaller towns and rural areas, referred to as B-30 in mutual fund (MF) terminology, SIP closures in direct plans were 2.6 times higher than in regular plans, despite the latter having a larger account base.

MFs offer two variants: direct plans, which are commission-free and accessed through online platforms, and regular plans, which include commissions and are sold by banks or distributors.

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