SEBI Chairman Tuhin Kanta Pandey on Friday called on the mutual fund industry to unite in expanding access to small-ticket SIPs, terming them the foundation of retail financial inclusion and long-term wealth creation.
“Every SIP is a seed that can grow into a financial tree,” Pandey said at an event hosted by the Association of Mutual Funds in India (AMFI), stressing the importance of taking sachet-sized SIPs to every household.
Rs 250 SIP: SEBI all in for it
His remarks come months after SEBI, in January 2025, released a consultation paper proposing the launch of Rs 250 SIPs to widen the mutual fund investor base. The paper laid out a framework to promote such low-ticket investments — including limited promotional SIPs per investor, UPI and NACH-based autopay options, and onboarding incentives for distributors.
Also read: Rs 250 SIP: Sebi mentions small-ticket SIPs in consultation paper, invites comments till February
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Pandey said the mutual fund industry has “massive headroom for growth” and must now focus on building trust, improving accessibility, and safeguarding investors, particularly as participation spreads across India’s smaller cities.
He warned that in a rapidly digitising landscape, fraudulent redemptions remain a serious risk, and urged heightened vigilance from all players. “Data privacy must remain a top priority,” he added, underscoring the industry’s responsibility to maintain investor confidence.
Furthering SEBI’s push for inclusion, the chairman also said the regulator is considering incentives for first-time women investors, aiming to close gender gaps in investment access and participation.
The push for sachetisation comes as the mutual fund industry continues to see record SIP inflows, with rising investor interest from tier-2 and tier-3 regions.
MF AUM
Between July 2024 and July 2025, the mutual fund industry witnessed a substantial growth of Rs 10.39 lakh crore, rising from Rs 64.96 lakh crore to Rs 75.35 lakh crore, crossing the Rs 75 lakh crore milestone for the first time, according to AMFI data.
A large part of this growth is driven by millennials, who are adopting stock market investing more rapidly than earlier generations. While some opt for direct investments via demat accounts, a significant number continue to rely on systematic investment plans (SIPs) as a disciplined way to meet their long-term financial objectives.
