New Delhi, April 26 -- The Nifty 50 is down over 8% year-to-date, dragged by global uncertainty and a spike in crude oil prices amid the ongoing US-Iran standoff. For several retail investors who invest through systematic investment plans (SIPs) - parking a fixed monthly amount in mutual funds - this has translated into negative one-year returns amid the West Asia war.
The natural reaction for many investors with a short-term view has been to stop their SIPs. And this has reflected in the SIP stoppage ratio that spiked to 100% in the month of March. This means that more SIPs were discontinued or matured than new ones started.
The ratio, which has usually ranged 60-70% in recent years, reflects the growing popularity of SIPs, where more ...
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