Your Saving Gateway is just a ‘SIP’ away
Every single person tries to find out different ways and means of saving for their future. To become financially independent post retirement and enjoy every moment of life, this must be under cover. Still wondering to fetch the best way of investing for your future? You must give SIP (Systematic Investment Plan) a thought.
But the question is – What is SIP?
SIP (Systematic Investment Plan) is time-honored, simple, and a disciplined investment strategy that helps in building your wealth over a long-time period. It is an economical way of investing a fixed amount for a continuous period in a mutual fund at regular intervals. Weekly, monthly, and quarterly are the options for you to take the pick whilst investing in SIP. Precisely, this is planned and a systematic way of building the wealth for the future.
The Working of SIP
SIP is not a Fuss.
When you decide to invest in the scheme of a mutual fund through SIP, the decided amount is auto-debited from the bank account (you need to mention your bank account from where the amount will be deducted). This ‘amount’ particularly is treated as a mutual fund scheme. A certain number of units based on the Net Asset Value are given to you which is prevalent on the purchased date. If you are not in favor of getting the amount deducted from your bank account, you can also handover cheque along with the (filled) enrolment form. Furthermore, the mutual fund will deposit your cheque on the requested date and simultaneously, credit the units to your account along with the confirmation.
Investing in SIP – Yay OR Nay?
~ The earlier you start investing in SIP the potential growth will be fruitful. ~
Through SIP, when you invest the (same) amount regularly over-time, you tend to buy more units when the price if lower and vice-versa. Hence, your average cost per unit (or per share) is reduced. Not to miss, SIP ends up in providing reasonable returns in the selected time.
SIP Happy Treat: It doesn’t demand lumpsum amount to start with the investment, rather a bit of every month is more than enough. Another Treat; you get to drink the flexibility. You can either stop investing or increase/decrease the investment as per your will. You are the King/Queen. If you are looking for best mutual funds for sip, hit on.
What more? You may get best sip options to invest which will help in reducing the risk, thus providing you with the reasonable returns. Overall, SIP is a small bucket of savings and ocean avenues for investment. Make sure you have a good habit of ‘regular’ savings.
So, when are you planning for SIP? We can help you out just in case…
Disclaimer: Mutual fund Investments are subject to market risks. Please read the scheme documents carefully before investing.