Can I lose my money in SIP?

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Can I lose my money in SIP?

SIPs have losses But as the market keeps falling and you continue to invest your average cost fall. You will be buying more units at a lesser cost. The primary advantage of SIP is to lower the average cost of buying mutual funds.

How do I get my SIP amount back?

If you hired an agent to invest in SIPs, contact the same agent to redeem it. He/she will fill up a redemption request with details regarding your SIP, including the number of units that you want to redeem. After the request has been processed, you will receive the due amount via NEFT or a cheque.

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What is low risk mutual fund?

As the name suggests, low-risk mutual funds are those investment options that carry minimal risk and a stable return assurance. Investments are primarily restricted to real estate, government bonds, etc. To do so, they invest a major chunk of their total assets in debt instruments.

What is the ideal SIP amount?

One should invest at least 20\% of their salary in mutual funds and can later increase whenever possible. The effect of inflation has made it essential for investors to look at options such as mutual funds to prevent their investment from losing its value over time.

Can I pay SIP after due date?

If you miss an AMC SIP, then unfortunately you cannot compensate for it for the month. You just have to ensure your funds are available on time for the following month. To avoid missing SIPs on the due date, we recommend you set up the automatic fund transfers (e mandate) to your Zerodha trading account.

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Can SIP amount be changed?

You will not be able to update your SIP/ STP or SWP amount directly. If you want to increase your SIP/STP or SWP amount, you can start a new SIP/STP or SWP for the additional amount. So if you already have a SIP running for Rs. 1000 and you want to increase your investment to Rs.

What is SIP in mutual fund?

SIP – Systematic Investment Plan is a disciplined way of investing wherein a fixed amount of money is invested in a pre-defined mutual fund scheme at a fixed interval. You decide the amount, the SIP date and the schemes in which you wish to invest.

When do SIP installments qualify for long term capital gains?

All SIP installments between January 1 to June 1, 2016 have completed at least 1 year of investment, so would qualify for Long Term Capital Gains, while SIP between July to December would be short term capital gains. The table below explains the calculation. I sell all units on December 28, 2017.

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What is SIP date and how important is it?

There is a notion that choice of SIP date plays an important role in the returns. Reality is that SIP date has very less significance over a long period of time. It is just a date for your convenience – the date of which you would like your bank account to get debited.

How much money do I need to start a sip?

You can start small and there is no need to have a lot of money to start a SIP. A SIP of even Rs. 500 per month is sufficient to start with. And then depending on the goals and aspirations, one can increase the amount.