Mutual Fund SIP (Systametic Investment Plan)
Investment under Mutual Funds is of two types, viz. Lumpsum and Systematic Investment Plan.
Salient Features of SIP
SIP does the wonder of small and regular investment for a longer period, making a mighty corpus in the long run.
SIP provides financial discipline to investors by enabling them to invest regularly in mutual funds.
SIP starts from as low as INR 500/- onwards.
SIP is usually monthly or quarterly investment debited direct from investor's bank account on a preferred specific date, as opted by the investor.
SIP is without any financial burden.
SIP enables the purchase cost to be averaged out.
SIP is a tool to help the investors to achieve their long term financial goals.
SIP investors are offered life insurance cover as well, by some fund houses at no additional cost.