The key reason for making systematic investment in equities is rupee-cost averaging—you invest every month, at every price, thereby averaging your investment cost over the long term
It's a misconception that you need a lot of money to start investing
Long Term SIP works for your financial goals only if you invest the right SIP amount for the goal.
It has been a year since debt funds are in troubled waters. The crisis that started in September 2018, following the IL&FS fiasco has only compounded with time
The difference between the minimum and maximum SIP returns also narrowed with the increase in the investment horizon
The SmartSIP order is available in 3 modes – SmartSIP, SmartSIP Plus and the SIP Plus modes
Tarun Birani, Founder and CEO of TBNG Capital joins in to explain how millennials should plan their investments to be financially free by the age of 40.
Regular inflows through SIPs have been encouraging the mutual fund industry to grow more and bring more relevant products for the investors, aligning with their financial goals and risk profiles
Indian Mutual Funds have currently about 2.74 crore SIP accounts through which investors regularly invest in Indian Mutual Fund schemes
While SIPs have given moderate returns in the last one year, the real opportunity lies in the largecap, and largecap and midcap space, with SIPs in select funds even surpassing the returns given by benchmark indices in the same period.
Investors choose the wrong space to start their investments in equities in a bull market, resulting in negative or poor returns
This is mainly seen due to good inflow into liquid funds and modest equity numbers.
Inflows through the SIP route have been falling. Should you be worried?
Fund managers said investors have continued to retain their faith in SIPs despite the market volatility. At the same time, they fear investors might discontinue SIPs after looking at the negative returns
Worrying about the next SIP installment is fine for small investors or who have just started investing recently. But for those who have been investing for years, it makes sense to pay proper attention to risk management of their existing portfolios.
Venkatesh mentioned that systematic investment plans have continued to show an upward trend despite volatile markets.
Unlike value averaging SIPs, the SmartSIP will keep the monthly amount constant, but will allocate between equity and debt based on market conditions.
No matter what you have been told by those who sold you your mutual funds, SIP isn’t a risk-free strategy to invest in equities. But nevertheless, it’s a fairly good option when it comes to practical utility.
if good or quality stocks are getting hampered with external factors, investors should use the dips to buy into stocks which they think hold long term growth potential, suggest experts.
It is essential for every investor to have annual portfolio goals and plan their overall return on the basis of it.
First-time investors are having a rough ride in mutual fund SIPs, many are yet to see profits
The sharp fall in net equity mutual fund inflows in December 2018 is a cause of worry
S Krishna Kumar expects near term volatility but says investors shouldn't try to time the market.
With markets expected to be volatile due to elections, one should look to invest through SIPs which reduces the need to time the equity market
As money is invested at regular intervals you can take the advantage of market fluctuations