PhonePe Mutual Funds sees 5X growth in Daily SIP transactions driven by demand from smaller cities

PhonePe Mutual Funds on Monday said it has onboarded more than 5,00,000 unique investors into its Daily SIP product since its launch in December 2025, with nearly 77 per cent of customers coming from tier-2 and tier-3 cities, underscoring growing adoption of micro-investing beyond India's metropolitan centres.

The fintech platform said investments through the feature start at Rs 10 a day, enabling investors to make small, regular contributions instead of committing to larger monthly instalments.

It said Daily SIP transactions increased nearly five-fold between January and June 2026, with an average investment size of Rs 50, reflecting what it described as a growing preference for disciplined, habit-based investing.


PhonePe said younger investors have been the biggest adopters of the product. Customers aged 18-29 account for 58 per cent of the Daily SIP investor base, while those in the 30-45 age group make up another 37 per cent, highlighting increasing participation by first-time investors and early earners.

The company said the product has found strong acceptance among merchants, shop owners and self-employed individuals whose incomes are generated on a daily basis rather than through monthly salaries.

By allowing small daily investments, the feature aligns with their cash-flow patterns while helping investors average purchase costs over time and navigate short-term market volatility.

PhonePe added that Daily SIPs also offer greater flexibility by allowing users to manage liquidity through smaller daily payments instead of a single monthly debit, while retaining the option to stop investments at any time without penalties.

"India's wealth creation journey is evolving from investing when possible to investing consistently. At PhonePe Mutual Funds, our goal is to make wealth creation a frictionless daily habit for every Indian. Whether you are a young professional starting to invest, a business merchant with a daily cash flow, or an individual looking to overcome short-term market volatility, the daily SIP feature offers a convenient and effective way to achieve your financial goals.

"The unprecedented growth in our Daily SIP transaction volumes reflects a profound shift in investor behaviour, proving that when micro-investing scales at this pace, consistency becomes as powerful as the amount invested," Nilesh D Naik, Head of Mutual Funds at PhonePe, said.