Sunil Gavaskar: The lure of investing in the stock market is now increasingly attracting women as well. For this reason, the number of women investors in India is increasing rapidly and they are investing in mutual funds on a large scale. Due to heavy investment by women, their assets under management (AUM) have seen tremendous growth. This figure was Rs 4.59 lakh crore in March 2019, which has increased to Rs 11.25 lakh crore by March 2024. This increase is more than double.
Increasing share of women investors
The mutual fund organization “Association of Mutual Funds in India” (AMFI) in a report released in partnership with Crisil said that now women investors have a 33 percent share in the total AUM. According to the report, the number of women investing in mutual funds is also increasing rapidly. Now one in every four investors is a woman. Apart from this, the average size of women’s investment portfolio has also increased. Between March 2019 and March 2024, the size of women’s portfolio has increased by 24 percent, while men’s portfolio has increased by only 6 percent.
Big increase in SIP
The report also records tremendous growth in Systematic Investment Plans (SIPs). Smallcap funds investing in small stocks are performing the best in this category and these funds account for more than half of the total AUM of this category. Apart from this, SIP investments have also increased in midcap funds, where about 46 percent of AUM is coming from regular investments. However, SIP AUM has declined in sectoral, thematic and dividend yield categories. According to the report, the total SIP AUM has grown by 300 percent. This figure was Rs 2.66 lakh crore in March 2019, which increased to Rs 10.62 lakh crore in March 2024.
The growing craze of SIP among young investors
According to the report, the biggest reason behind the increasing popularity of SIP is the growing trend of young investors. The craze of SIP is increasing rapidly among the age group of 18 to 34 years. The SIP AUM of investors of this age group has increased by more than 2.6 times in the last five years. This figure was Rs 41,209 crore in March 2019, which increased to Rs 1.51 lakh crore by March 2024.
A new twist in the investment journey of women
Women’s growing inclination towards investing and their increasing participation in mutual funds is a positive sign. This not only promotes financial independence but also helps women plan their future finances. Experts believe that women’s contribution to the mutual fund market may increase further in the coming years.
