SIP (Systematic Investment Plan)

A Systematic Investment Plan (SIP) is a method of investing a fixed amount into a mutual fund at regular intervals — usually every month. Instead of investing a lump sum, you buy units of the fund on a schedule.

Because you buy at whatever the fund’s NAV is each month, you automatically buy fewer units when prices are high and more when they are low. This is called rupee-cost averaging, and it smooths out the impact of market volatility over time.

SIPs are popular for long-term wealth building in India. Their returns depend on market performance and are not guaranteed. The future value of monthly investments can be estimated with the SIP Calculator.