Systematic Investment Plan: Treat your new SIP as your child....

So what is SIP in Mutual Funds?

 Systematic Investment Plan (SIP) is an investment route offered by Mutual Funds wherein one can invest a fixed amount in a mutual fund scheme at regular intervals– say once a month or once a quarter, instead of making a lump-sum investment. The installment amount could be as little as Rs 100 per month  . It’s convenient as you can give your bank standing instructions to debit the amount every month.

Benefits of SIP:-

 A  thought on Systematic Investment Plan: Treat your new SIP as your child....

Ezhil👑: 0-3 Years: SIP will have to be supported as like a baby it will be unstable, initially. You may see its value lower than the invested amount but keep supporting it by simply keeping it active...

 

3-10 Years: Just like a child, it will be more stable and you will see a rise in your investment. SIP would have accumulated some decent amount. 

 

10-20 years: At this stage the child has developed a character, so has your SIP. Just as your child has developed physical features, your SIP has developed a corpus. Now its value is much higher than your investments and the amount is significant....

 

20 years plus: The child has grown up and is independent now. He has started earning or will soon start to earn and support the family....SIP at this stage has also accumulated a huge amount and is ready to support the family....one can depend upon the SIP corpus to have another source of income via SWP ( Systematic Withdrawal Plan-Another powerful strategic mechanism).

 

Treat a SIP as your child, raise it with love and care and it will support you through out your life as an earning member.....

Hope you adopt SIP for your family who can be that angel star of your life.

Yes, System Investment Plan is time tested way to achive one's financial obligations.

Hope you enjoyed or appreciated reading this one. Thank You, keep safe & Be Empowered... 😊

This blog “Finmission’s Class" is an effort to educate and spread the word of financial knowledge and awareness whilst empowering the community with a touch of practicality on personal finance.

For any queries and assistance related with incidental financial advisories and for goal based financial plan, you may feel free to write at the "contact us" form in the blog or you may please ping a message through Whatsapp (Mobile No: +91 9499979180) or call at the mentioned mobile number or email at finmissionllp@gmail.com and I will be most glad to guide your path to financial freedom.