SIP Investment Tips: SIP is a popular investment option, but along with its own merits, it also has some shortcomings…
Investment in India through SIP has increased rapidly. AMFI data shows that seven years ago the monthly contribution through SIP was Rs 3 thousand crores, which has now increased to beyond Rs 16 thousand per month.
SIP has emerged as a popular method for investment. SIP helps people to plan their investments properly. While it has many advantages, it also has some disadvantages. For this reason, everyone should keep some things in mind before doing SIP…
First of all decide your financial goals. This is not only SIP but the first step in any kind of investment. Deciding whether your goal is long term or short term will make it easier to choose the means of investment.
Before doing SIP, you should assess your ability to take risk. You can get higher returns in many SIPs, but the risk is also higher there. At the same time, returns are also less in low risk plans.
SIP portfolio should be diversified. A diverse portfolio will help in balancing risk and return.
Before investing money in any SIP, research the scheme thoroughly. As important as it is to check the scheme, it is equally important to check the fund house.
The most important thing in the investment journey is discipline. SIP is effective only when you invest regularly with complete discipline.
