Deprecated: Unparenthesized `a ? b : c ? d : e` is deprecated. Use either `(a ? b : c) ? d : e` or `a ? b : (c ? d : e)` in /homepages/44/d793335463/htdocs/pro/wp-content/themes/kleo/kleo-framework/lib/function-core.php on line 570

Notice: fwrite(): write of 13 bytes failed with errno=122 Disk quota exceeded in /homepages/44/d793335463/htdocs/pro/wp-content/plugins/wp-file-manager/file_folder_manager.php on line 62

Warning: ftp_nlist() expects parameter 1 to be resource, null given in /homepages/44/d793335463/htdocs/pro/wp-admin/includes/class-wp-filesystem-ftpext.php on line 420

Warning: ftp_pwd() expects parameter 1 to be resource, null given in /homepages/44/d793335463/htdocs/pro/wp-admin/includes/class-wp-filesystem-ftpext.php on line 230

Warning: ftp_pwd() expects parameter 1 to be resource, null given in /homepages/44/d793335463/htdocs/pro/wp-admin/includes/class-wp-filesystem-ftpext.php on line 230

Warning: ftp_nlist() expects parameter 1 to be resource, null given in /homepages/44/d793335463/htdocs/pro/wp-admin/includes/class-wp-filesystem-ftpext.php on line 420

Warning: ftp_pwd() expects parameter 1 to be resource, null given in /homepages/44/d793335463/htdocs/pro/wp-admin/includes/class-wp-filesystem-ftpext.php on line 230

Warning: ftp_pwd() expects parameter 1 to be resource, null given in /homepages/44/d793335463/htdocs/pro/wp-admin/includes/class-wp-filesystem-ftpext.php on line 230
What you need to know about Systematic Investment Plans | Company Vakil


Systematic investment plans generally known as SIP is the investment plan designed for new investors with limited knowledge of investment and financial market, As the name, itself suggest these plans are designed with a pattern which allows making investments on weekly monthly or quarterly bases. This flexibility differentiates SIP from any other regular schemes. It is smooth and simple and the payments of these plans are done from the bank accounts through the auto debit facility on consent given by the account holder to the bank on ECS debit form.

SIP has 4 categories to choose from

Flexible SIP – This plan gives freedom to the investor to do fluctuations in investment based on personal financial situations on different periods like if you feel tight with funds than you can cut down your investments and in case you are fine with personal funds you can put more money according to your finance flow. On the other way, these plans don’t require any minimum or constant investment commitments of a certain amount

Top UP SIP – This plan gives the opportunity to “put more funds” on a certain period on the funds performing well and you can add your investment value in order to get more returns. In simple words, you can chip in anytime to weight up to your portfolio by topping it up based on your extra income or profits.

Perpetual SIP – SIP is basically a periodic investment which is for 1 to 5 years so you can plan your financial strategy for certain time. One must put the mandate date which is also meant to be an end date. In case you don’t select end date the plan generally pronounced as perpetual SIP. A professional, responsible and experienced investor always opts for an end date and from experts and finance specialists it is indeed advisable.

Trigger SIP – Designed for new beginners and learners it allows to fix some parameters like start date and NAV. This is not recommended and lesser in trend due to high risks in nature.

Easy to manage

The moment you choose your category of SIP and the plan you selected, based on that the investment payment will be made through your bank account you authorized for auto debit and you unit values get credited in your account

Rupee cost averaging and power of compounding, Makes SIP much more obvious choice for investors. In RCA the lesser amount of shares added to your account in case of high values of funds. On the other way when prices get down the more values of units gets added when the price is low which makes a bit of peace of mind for investors.

Power of compounding POC means the size of investment and the time your funds were in the plan makes you earn interest on it. So your funds make basic returns apart from stock trends. The returns of 5 years plan with this logic are more, than the selection of 1-year plan so this method encourages investors for bigger periodic investments to earn more interest.

Selection of SIP Plan

As before any investment even in SIP, it is also very essential and critical to put your money on the best horse!! We are still talking financial investments only so do not visualize the race course, please!!

You want to grow your money so you must shortlist best sip plans and make your choice based on facts which fancy opportunities to grow your funds. The performance reports show positive trends and make easy to choose the best sip in India ones you are ready with the best sip plan to invest you need to select the tenure 1, 3 or 5 years and remember, as said above more the tenure more the opportunity to earn the interest. The returns are also satisfactory when you give a fair amount of time to your investments. So the expert’s advice is to opt for the best sip plan for 5 years as we have given you a fair reason for this.

Promising plans for 3 to 5 years period

Though you have often heard on television advertisements and after regulatory observations, the rate of speech of the following famous line has come down and easy to understand which says that “mutual funds are subject to market risks please read all documents carefully’!! let’s come to business now here are some of the funds you can look. Reliance small-cap fund which on the basis of metrics and stats shows 22.5% returns in 3 years and 35.82% if you opt for 5 years plan, While SBI small CAP fund is only behind marginally, in fact, slightly higher in 3 years then Reliance with 23%, .5% more and 34.74% for 5 years. It carries a trusted tag of state bank of India so not a bad option at all.UTI Transportation and logistics funds show around 11.4% in 3 years and gaps get more than double when we talk 5 years terms with the same plan as the outcome is 30.16% this is the 3rd time we are proving the point that SIP repays well with higher period and we have figures to support now.

The other segments of funds as an option are Balanced Funds Equity funds where HDFC balanced fund & HDFC small funds are leading the table while L&T, ICICI, Birla SL Equity are few more options you can look at . Having present all these plans doesn’t endorse any of the above said plans so you must see the current market trends and finalize the best sip to invest. We have mentioned best sip plans in India as our experts keep eye on top sip plans and market trends.

So finally you have sufficient knowledge now to invest in the best sip since mutual funds are the very popular choice for investment all you need to do it is to find a best mutual fund for a sip and start investing for a safe financial future for you to achieve your dreams.

©2023 CV Legal Tech Services LLP. All Rights Reserved


We're not around right now. But you can send us an email and we'll get back to you, asap.


Log in with your credentials


Forgot your details?

Create Account