The mutual fund SIP stoppage ratio has dropped to 95% in May against a stoppage ratio of over 100% for two consecutive months. In April, the SIP stoppage ratio was 101.14% whereas in March was 101.06%.The latest reading indicates that more mutual fund SIPs were registered than those stopped or whose tenures ended.Also Read | Are mutual fund investors losing interest in gold ETFs and multi asset allocation funds? The number of SIPs discontinued/ tenure completed in May were recorded at 51.70 lakh whereas the number of new SIPs registered in the same period stood at 54.16 lakh. In April, 51.29 lakh SIPs were discontinued or completed their tenure, and 50.71 lakh new SIPs were registered.“The MF industry’s AUM remained largely stable at Rs 81.58 lakh crore in May, witnessing a marginal contraction amid ongoing global uncertainties and commodity price volatility. Equity inflows came in at Rs 22,907 crore, marking the 63rd consecutive month of positive flows,” said Venkat Chalasani, Chief Executive, AMFI.“The MF industry’s growth continues to be powered by robust SIP inflows, which stood at Rs 30,954 crore in May. The number of contributing SIP accounts remained steady at 9.64 crore, reflecting the growing preference for mutual funds as a structured approach to wealth accumulation.”With India's strong economic fundamentals, our focus remains empowering investors with the knowledge to stay committed to their long-term financial goals,” Chalasani further said.What is the SIP stoppage ratio?The SIP stoppage ratio is the number of discontinued SIPs compared to the number of new registered SIPs. If this ratio crosses 100% then it indicates that more mutual fund SIPs are being stopped than the ones started. However, one must keep in mind that stoppage ratio also includes those SIPs that have expired. Besides, investors may have simply switched from one SIP to another as part of their portfolio reshuffle.The SIP assets stood at Rs 17,12,126.14 crore in May 2026, constituting nearly 21% of the industry's AUM. The number of Contributing SIP accounts stood at 9,64,06,465 in May 2026. Also Read | Gold, silver ETFs tumble up to 7% as US-Iran tensions and inflation fears hit sentiment. Time to buy the dip? The retail MF AUM (Equity + Hybrid + Solution Oriented Schemes) stood at Rs 47,91,061 crore for the month of May 2026 as against Rs 47,41,872 crore in April 2026. The retail folios (Equity + Hybrid + Solution Oriented Schemes) are at 21,10,12,873 for May 2026 and 21,00,01,387 for April 2026.The mutual fund folios are at 27,65,67,797 as of May 2026 with 12.56 lakh net folios being added during the month. Folios as of April 2026 stood at 27.53 crore which is up 0.5% from in April.Juzer Gabajiwala, Director, Ventura, said that investors appear to be fatigued with the markets now, which have been completely sideways for the past 2 years. SIPs have also dipped continuously for the past 2 months. The trend could lead to more stoppages with even FIIs selling off from India. The next 2 months will be critical for the Indian markets as we would see the impact of the monsoon as well as 1st quarter results for FY 26-27.A. Balasubramanian, MD & CEO, Aditya Birla Sun Life AMC said sustained SIP flows highlight the growing maturity of investors and reinforce the importance of disciplined, long-term investing irrespective of short-term market movements.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@timesinternet.in along with your age, risk profile, and Twitter handle.