You open your investment app. Red everywhere.
Your first thought? “Should I Stop SIP During Market Crash?”
Fair question. But before you act, let’s understand what’s really at stake.
Markets Crash. That’s Not New.
Markets have gone up and down for decades — that’s just how they work.
Whether it was 2008, 2020, or any global event, the one thing we’ve learned is: they always bounce back.
If you stop your SIP when things go south, you might miss out when things start looking up.
Here’s What Actually Happens When You Continue SIPs in a Crash
When markets fall, the NAV (price) of mutual funds comes down.
That means your SIP amount buys more units than before. Over time, this reduces your average cost — and gives you better gains when markets recover.
In simple words: you’re buying more for less.
This quiet benefit is what long-term investors rely on.
What the Wise Investors Do
They don’t chase the highs.
They don’t fear the lows.
They stick to their plan.
In fact, some increase their SIPs during crashes because they see it as a “discount season.”
But Wait — Should You Always Continue SIPs?
Not necessarily.
If your income has been affected, or you’re facing a genuine financial crunch — it’s okay to pause.
But do it for the right reasons, not just because the market looks scary.
Stop SIP During Market Crash Out of Fear? That’s Risky Too.
Let’s say you stop SIPs now. You wait. Then markets rise again — but by the time you restart, you’ve already missed the low. That’s how timing the market can backfire.
Investing isn’t about reacting. It’s about staying steady.
The Bottom Line
If your goals are long-term and your income is stable, don’t stop your SIP.
Stay invested. Trust the process.
Let your SIP work quietly in the background — even when the headlines are loud.