Meet Ashish. Ashish decided to save money after his salary increase. Ravi suggested that he start saving with a Systematic Investment Plan. Ravi explained:
SIP, or Systematic Investment Plan, is a method that allows you to invest in mutual funds with discipline. A fixed amount of money can be invested in mutual funds to build a portfolio. This could be 1,000 rupees per month, quarterly or annually.
SIP has many benefits
It's wallet-friendly and encourages discipline, making it ideal for new investors.
It's easy: Once initiated, the amount will automatically be deducted through ECS.
Mutual fund units can be purchased at different prices, so you don’t need to worry about market timings or fluctuations. This allows you to get higher returns. You must save money for a time and then invest the funds. SIP gives Ashish the opportunity to start getting returns as soon as he starts investing. Ashish can now start investing in SIP to reap these benefits.