Top reasons to start Systematic Investment Plan (SIP)
Small Investment One can start investing with as little as Rs 500 per month. Here, the investment amount is considerably lower than the most popular investment such as FDs and ETFs. Majority of people who have recently started earning invest in SIP to meet their future demands.
Felxibility in SIPs SIPs are highly flexible. If one start a Rs 1,000 SIP in a mutual fund scheme of his/her choice, there is not hard and fast rule to keep on investing Rs 1000 every month.
One can skip SIP One can skip SIP for a few months or even stop the investment if one does not have sufficient funds to invest.
SIP will make disciplined investor SIP brings more disciplined to one's investment journey as an amount fixed by someone automatically gets invested in the scheme of one's choice.
Compunding power When you start your SIP and you automatically choose the growth option, the returns from your investment are double and added to the original amount you invested. The compounding power ultimately produces much bigger profits.
Complete Transparency The AMFI and SEBI have put in place a number of strict regulations that every mutual fund scheme and AMC must adhere to in order to protect the interests of investors. Due to this, the mutual fund sector has become more transparent and secure for individuals who are just beginning their financial adventure.
Online Portfolio Tracking Investors can now manage their mutual fund investments online with the majority of big AMCs in India. You will be given a user ID and password once a SIP has begun so that you can access your account from any location at any time.