Delhi: Investors from semi-urban and rural areas of the country have recently surpassed urban investors in opening new Systematic Investment Plan (SIP) accounts in mutual fund (MF) schemes. In the last one year, investors outside the top 30 cities (T30), called Beyond Top 30 (B30), have contributed to 60% of new SIP accounts opened in active equity schemes.
Let us tell you that the mutual fund industry classifies investors into two broad categories:
T30: Top 30 cities where mutual funds invest the most.
B30: Rest of the country, including small towns and rural areas.
42 million SIP accounts have been activated in the B30 region, reflecting the increasing level of investment awareness and participation in these regions.
According to mutual fund industry data, 60% of the total new SIP accounts opened in active equity schemes in the last one year are from rural and semi-urban areas (B-30). This figure shows the growing trend of investors in the small cities and towns of the country.
This inclination of small town and rural investors towards mutual fund schemes reflects their growing contribution in the country’s financial markets. The possibility of making regular and small investments through the SIP has encouraged investment in these sectors. Experts believe that this trend will continue and the participation of rural investors will further strengthen the country’s financial markets.
