Sip???

[shyam.trivedi]

Does anybody what SIP exactly means and its importance?

 

[shyam.trivedi]

Systematic Investment Plan (SIP) is a way to invest the fixed amount of money in mutual fund regularly. It further helps them utilize the same money to buy units of a particular mutual fund, regardless of its price. People usually like such system as it help the save regularly and build up an investment. If you want to set-up your SIP account and can visit different online investment portals such as Birla Sun Mutual Fund, HDFC, Reliance Mutual Fund etc.

 

[ankushkumar]

SIP as Systematic Investment Plan, is a part of Mutual Fund. It's the plan that enables you to invest small fixed amount in regular interval and fund manager will handle your money in different instruments. This is very affordable for low income class, where they can invest minimum Rs. 500 per month in order to create wealth in the long horizon. I hope you understands this basic level.
You can also invest in SIP order to save tax under section 80-C through ELSS fund (which is part of Mutual Fund, especially for Tax-saver). But ELSS has 3 years lock-in period.
The opposite of SIP is Lumpsum in Mutual Fund, which is one time lump payment.
You're free to ask any more questions related to this topic here. Keep learning.

 

[Ravishankar3]

SIP is mutual fund investment scheme where a fixed amount of money will be deducted from your account on monthly basis and will be used by bank to invest in stock market. They have brilliant minds sitting there to invest in such a way that they get good returns but that return is not given to customers. If they earn about 100 rs they keep 80 and give 20 to it's clients