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Thu, January 30, 2025

All you need to know about SIPs in Mutual Funds


Published on 2025-01-30 08:01:18 - Mint
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  • A comprehensive guide on how SIPs offer a simple, disciplined, and effective way to invest in mutual funds and build wealth over the long term.

The article from LiveMint discusses Systematic Investment Plans (SIPs) in mutual funds, highlighting their benefits and mechanics. SIPs allow investors to invest a fixed amount regularly into a mutual fund scheme, promoting disciplined investing and reducing the impact of market volatility through rupee cost averaging. This method helps in buying more units when the price is low and fewer when the price is high, thus averaging out the cost over time. The article explains how SIPs can be started with a relatively small amount, making it accessible for retail investors. It also covers the flexibility of SIPs, where investors can increase, decrease, or stop their investments as per their financial situation. Additionally, the piece touches on the tax implications, the importance of choosing the right fund based on one's investment goals, and the long-term wealth creation potential of SIPs due to the power of compounding. The article concludes by emphasizing the need for patience and a long-term perspective when investing through SIPs.

Read the Full Mint Article at:
[ https://www.livemint.com/focus/all-you-need-to-know-about-sips-in-mutual-funds-11738168954813.html ]
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