Systematic - Disciplined/Regular/Methodical/Orderly/Logical
Investment - Stock/Speculation/Savings/Asset
Plan - Intend/Preparation/Idea/Strategy/Design
The above mentioned are not just synonyms this is what you will be doing in an SIP. It is one of the most Intelligent way of investing into the stock market.
SIP gives the investor immunity to fight stock market volatility but this medicine also gives the much needed kicker in your investments when compared to a Bank FD.
For the Inquisitive Investor
Systematic Investment Plan/SIP is a investment process where in an investor systematically makes regular/periodic investments into the stock market. Think of it like a recurring deposit into the stock market. The amount can be as low as Rs. 100. The process is most effective when you do a ECS(Electronic Clearing Service) thru a bank.
All mutual fund houses offer SIP facility all you have to do is fill a simple form and submit the application with your pan card. the forms can be submitted in any Mutual fund office or any collection centers like CAMS/KARVY.
Some good schemes were SIP can be done...
for the aggressive Investor
DSP BlackRock Small & Mid Cap Fund
IDFC Small & Mid cap Fund
Sundaram Mid Cap Fund
Birla Sunlife Mid Cap Fund
for the moderate Investor
Birla Sunlife Frontline Equity
HDFC Equity
Reliance Growth
ICICI Prudential Dynamic Plan
for the Conservative Investor
Bank FD/Post office saving scheme
further clarification please ask...
if you could throw further insights into the workings of mutual funds it would be great...
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