Systematic Investment Plan (SIP) gives you the opportunity to invest a fixed amount each month in your preferred Mutual Fund scheme. It is usually started in equity mutual funds.
Why start a Systematic Investment Plan (SIP)?
Discipline in Mutual Fund Investments is of great importance. SIP maintains your discipline. Apart from this, SIP continues to invest in the Mutual Fund regularly, even if the stock market is bullish or recession. This investor tool, offered by mutual funds to the investors, allowing them to invest small amounts of money instead of big sums. One can invest weekly, monthly or quarterly.
Systematic Investment Plan (SIP) benefits:
Directly cuts off the bank Money: The money in SIP goes straight from the bank every month from the bank.
Freedom to choose one yourself: Every month SIP offers a chance to choose between many dates.
Discounts to reduce or decrease investment: Investors can decrease or increase the SIP amount at any time.
Anytime, the statement can be taken: Investor can take a statement whenever needed. This statement is also updated by that day.
Know your daily value: Investor can value the value of his investment every day. All Mutual Fund companies annually declare their Net Asset Value (NAV) every day.
Advantages of dividend options: Whether the investor can take the option of a mutual fund dividend in the mutual fund schemes. Companies pay dividends from time to time.
Can withdraw money in the middle: If an investor needs money, then he can also withdraw some money in the middle. Doing this does not make a difference on the SIP and it keeps moving.
How much time can be for SIP: SIP can be done for how long.
It is also easy to close the SIP: the investor can turn it off on the day he wants it. There is no penalty on this.
No limit on investment: Companies can start at a minimum of Rs 500 or Rs 1 thousand in SIP, but there is no maximum limit.
So invest in SIP by today and enjoy the benefits.