With the Nifty 50 closing around 22,811 on 21 October 2026, roughly 13% below its January 2026 record and below where it stood two years ago, many SIP statements show red numbers for the first time. The instinct is to stop the bleeding. This guide helps you think it through calmly. It does not tell you what to do with your money, because the right answer depends on your income, debts, goals and timeline. For the bigger picture, start with our guide to investing in a flat market and our explainer on what the Nifty’s two-year time correction means.
This is general information, not investment advice. Consider a SEBI-registered investment adviser for personal advice.
What other investors are doing
AMFI’s figures show that most investors have kept going. The “stoppage ratio” compares SIPs that were discontinued or reached the end of their tenure with new registrations. It touched 95.5% in May 2026 and has fallen for five straight months since. In September 2026, 63.26 lakh new SIPs were registered against 49.68 lakh that stopped or matured. That is not a reason to keep going yourself, since your situation is your own, but it does show that a red portfolio is not unusual right now.
The maths of a SIP in a flat market
A SIP invests a fixed amount every month. When the price (NAV) is lower, the same ₹10,000 buys more units. Over a flat or falling stretch, your average cost per unit ends up below the price you started at. That is the whole idea of rupee cost averaging.
Illustrative fund NAV over 12 months, with average cost per unit
Illustrative only, not a real fund and not a prediction. ₹10,000 invested each month at the NAVs shown (100, 97, 94, 92, 89, 86, 88, 90, 87, 85, 86, 88). The vertical axis starts at 80. Exit loads, taxes and expense ratios are ignored.
| Illustration | Kept SIP running (12 months) | Stopped after 6 months |
|---|---|---|
| Amount invested | ₹1,20,000 | ₹60,000 |
| Units held | 1,334.1 | 646.8 |
| Average cost per unit | ₹89.95 | ₹92.76 |
| Value at month-12 NAV of 88 | ₹1,17,398 (−2.2%) | ₹56,919 (−5.1%) |
| Value if NAV later returns to 100 | ₹1,33,406 (+11.2%) | ₹64,681 (+7.8%) |
Two honest caveats. First, if prices keep falling, continuing means more rupees are exposed to the fall, even if each rupee buys more. Second, there is no rule that says the NAV must return to 100 by any particular date. Averaging helps your cost; it does not guarantee a profit. To read your own SIP’s return properly, see SIP XIRR vs absolute return, explained.
A red SIP tells you what the market did. It does not tell you whether you can afford the next instalment. That is the question that matters.
Five questions to ask before you touch the SIP
Can I pay this month’s SIP without strain?
If the SIP is pushing you towards a credit card balance, a loan app or a missed EMI, the SIP is too big for your cash flow right now. Reducing or pausing it is reasonable.
Do I have an emergency fund?
Three to six months of essential expenses in a savings account or liquid fund is the base layer. If you have none, many planners suggest redirecting part of the SIP to build one first. Our guide on building an emergency fund before investing shows how much to keep.
Am I carrying expensive debt?
A loan-app balance costing 1% a day, or a credit card balance you are not paying in full, costs far more than most investments can reasonably be expected to earn. Clearing it is a guaranteed saving.
When do I need this money?
For a goal 7–10 years away, a flat year or two is part of the journey. For a goal within two or three years, equity exposure itself may be too high, and that is worth reviewing whatever the market does.
Has anything changed apart from the price?
A changed goal, job, family situation or risk tolerance is a good reason to revisit a SIP. A falling NAV on its own is a weaker one.
Your options, side by side
| Option | What it does | Worth considering when | Watch out for |
|---|---|---|---|
| Continue as is | Keeps averaging at lower prices | Income is stable, emergency fund in place, no costly debt | Make sure the goal is still long-term |
| Reduce the amount | Keeps the habit, frees cash | Budget is tight but not broken | Check how your fund house or platform handles a change in amount |
| Pause | Temporarily skips instalments | Short cash crunch, building an emergency fund, clearing debt | Set a date to restart; many pauses become permanent |
| Stop | Ends future instalments; units stay invested | Goal has changed or equity was never right for you | Stopping does not mean redeeming; think before selling |
| Stop and redeem | Turns paper loss into an actual loss | You genuinely need the money and have no better source | Exit loads, taxes, and missing any later recovery |
Many fund houses and platforms let you pause a SIP for a limited number of months instead of cancelling it. Check your fund house or platform for the exact rules. Missing a SIP debit because the account is short can attract bank charges, so it is better to pause formally than to let it bounce.
Where debt fits in
We are a lender, so we will be direct: do not borrow to keep a SIP running, and do not take a loan to avoid selling at a loss. A loan has a fixed cost every month whether markets rise or not. If your SIP is being funded while app loans or card dues roll over, the maths almost always favours clearing the debt first.
If you are juggling several short-term app loans, Omozing SmartSwitch can replace them with one EMI so you can see where your salary goes. Once that is under control, restarting a SIP from a stable base is far easier. If you need cash for a genuine need and your portfolio is down, read need cash but your portfolio is in loss for the trade-offs.
Is costly debt crowding out your SIP?
See how much your app loans cost each month, and what one Omozing EMI would look like instead.
Frequently asked questions
Should I stop my SIP when the market is falling?
A falling market alone is usually a weak reason, because a SIP buys more units when prices are low. Stronger reasons are a cash crunch, no emergency fund, costly debt or a changed goal. The decision is personal; a SEBI-registered adviser can help.
What happens to my money if I stop a SIP?
Stopping a SIP only ends future instalments. The units you already own stay invested and keep moving with the market until you redeem them.
Can I pause a SIP instead of cancelling it?
Many fund houses and platforms offer a pause facility for a limited period. Check the exact rules with your fund house or platform, and set a reminder to restart.
Why is my SIP showing a negative return?
Because the current value of your units is below what you paid in total. In a flat or falling market, recent instalments may be bought above today’s price. XIRR, which accounts for timing, is the better measure of SIP performance.
How many investors are stopping SIPs in 2026?
AMFI data show the SIP stoppage ratio, which counts closed or completed SIPs against new ones, at 78.53% in September 2026, down from 95.46% in May 2026, with record monthly SIP contributions of ₹32,490 crore.
Should I take a loan to continue my SIP?
No. Borrowing to invest adds a fixed monthly cost to an uncertain return. Use loans only for genuine needs, and clear high-cost debt before investing more.
Sources (as of 22 October 2026): AMFI monthly data for September 2026 (SIP contributions, accounts, registrations, discontinuations and stoppage ratio), as reported by Angel One, 13 Oct 2026; Nifty 50 closing levels from Business Standard (21 Oct 2026) and NSE-based reports. The SIP illustration is hypothetical. Check the official source before acting.
Omozing is the digital lending brand of Aparampaar Finance Private Limited, an RBI-registered non-deposit-taking NBFC. We do not offer investment products or advice. This is general information, not investment advice; consider a SEBI-registered investment adviser for personal advice. See our regulatory disclosures and grievance redressal process.