The Systematic Investment Plan (SIP) is being highly searched on Google and other search engines today. Many peoples want to learn about investing process in mutual funds. SIPs in mutual funds have increased very fast in the past few years. The learning tap team always working for you to find out the best investment option for you, We are helping new and old investors who are already investing in The Systematic Investment Plan. In this article, we will discuss all SIP,
What is SIP?
SIP full form is The Systematic Investment Plan, and SIP or Systematic Investment Plan gives an option to deposit a certain amount every month in your selected Mutual Fund scheme. it can be started from 500 Rs monthly also. if you are a big investor then you can increase the SIP monthly deposit amount as per your comfort.
Why should we start a SIP?
- SIP force you to maintains this discipline in investment.
- This is an automatic deposit scheme and you don’t need to any monthly basis research before investment.
- You are also getting the benefit of compounding in SIP for long-term investment.
- We can start a SIP in a Mutual Fund scheme with just Rs 500 or more than Rs 500 per month.
- You can also increase or decrease the fixed amount as per your choice.
How to Start SIP?
in this current market situation, mutual funds are one of the best investment options due to high returns. and SIP makes it easier through monthly small amount deposits. now everybody knows about the Share Market, Stock Market, Sensex, nifty, bank nifty, brokers, SEBI, and Demat account. if someone needs to know anything mentioned can search on our website and can find a related topic to detailed knowledge. but today we will discuss the broker and Demat account because without these two you will not able to buy a Mutual fund or SIP.
You have to choose a broker for buying a financial product like equities, mutual fund, and digital gold, etc. Upstox, angel broking, and Zerodha are the top three brokers as per our experience. these are discount brokers. then after you have to open a Demat account with the help of your selected broker.
- Open Demat Account in Upstox Click Here
- How to Open Demat Account in Angel Broking Click Here
- Open Demat Account in Zerodha Click Here
Benefits of SIP
- SIP reduces market risk
- The Systematic Investment Plan gives you options with a small amount and also in installments.
- You will able to get the benefit of compounding in SIP.
- You Can increase or decrease the SIP amount as per your investing capability or choice
- There is also the pause facility in SIP if you think the market situation are not good. and can be resume when you want in future
Documents required for SIP
- 1- Pan Card
- 2-Adhar Card/ Identity proof
- 3-Bank Account
- 4-Bank Passbook or cancel a cheque
- 5-Passport size photo
- 6- Adhar linked Mobile no for online process
We at The learning tap giving a Free online course program for new and old investors. Those who are interested can fill the below form. then our team will reach you and gives Free online course schedule.
Free online course will cover the topics as below
- Share Market fundamentals
- Mutual fund Fundaments
- SIP Calculation in a Mutual fund
- How to Choose brokers
- What is Brokerage
- How brokerage impact your profit
- How to Open Demat account