Question 1

How much can I invest in a SIP?

Accepted Answer

The investment amount in a SIP can vary based on your financial capacity and the minimum investment requirement specified by the mutual fund scheme. It can range from as low as ₹500 to higher amounts based on your investment goals and the chosen mutual fund.

Question 2

What is the maximum and minimum tenure in SIP?

Accepted Answer

The minimum tenure for SIP in mutual funds is 6 months and there is no maximum tenure. Mutual fund SIPs can be continued for as long as you want, or you can discontinue them at any time.

Question 3

Are SIPs similar to mutual funds?

Accepted Answer

SIPs are a type of investment method within mutual funds. They are not the same as mutual funds themselves.

Question 4

Can I modify my SIP amount?

Accepted Answer

Yes, you can modify your SIP amount by contacting your mutual fund provider.

Question 5

What is the minimum amount needed for SIP investment?

Accepted Answer

The minimum amount for SIP investment may vary depending on the mutual fund scheme. However, most schemes have a minimum investment of ₹500 per month.

Question 6

Can I convert my SIP to lumpsum investment?

Accepted Answer

There is no hard and fast rule that you cannot convert your SIP into lumpsum investment if you have surplus funds. However, it is always advisable to practice SIP to avoid any risks.

Question 7

Can I make a SIP investment every month?

Accepted Answer

Yes, you can invest even a small amount like ₹500 per month. This helps to average out the cost of your investment and reduce the risk. Additionally, you can calculate your returns through SIP calculator

Question 8

When should I prefer SIP investment?

Accepted Answer

You should prefer SIP investment when you want to invest for the long term and want to minimize the risk of market volatility. If you want to know your returns on SIP investments, you can easily calculate through SIP calculator.

Question 9

Can I pause my investments in SIP?

Accepted Answer

Yes, most mutual fund companies provide the option to pause or temporarily stop your SIP investments for a specified period of time.

Question 10

Can I have multiple SIPs at one time?

Accepted Answer

Yes, you are allowed to have multiple SIPs concurrently, which enables you to diversify your investments across various mutual fund schemes and asset classes in line with your investment objectives.

Question 11

Do I need a Demat account for making the SIP in mutual funds?

Accepted Answer

No, you do not need a Demat account to make a SIP in mutual funds. SIP is a method of investing a fixed amount of money in a mutual fund scheme regularly, typically every month. A Demat account is required to buy and sell shares and other securities.

Question 12

What is the difference between lump sum and SIP?

Accepted Answer

The main difference between SIP & lump sum frequency of investment. In a lump sum investment, you invest a fixed amount of money at one time. In a SIP, you can invest a fixed amount in regular intervals, such as monthly or quarterly.

Question 13

How to redeem SIP Mutual Fund online?

Accepted Answer

You can redeem SIP mutual funds online through the mutual fund company’s website or app.

Question 14

Can I renew a SIP?

Accepted Answer

Yes, you can renew a SIP by continuing with the same scheme or opting for a different one.

Question 15

Does SIP allow only equity mutual funds investments?

Accepted Answer

SIPs allow investments in various types of mutual funds, including equity, debt, and hybrid funds

Question 16

What is mutual fund SIP investment?

Accepted Answer

A Mutual Fund Systematic Investment Plan (SIP) is a popular investment strategy that allows individuals to invest in mutual funds in a systematic and disciplined manner.

Question 17

Are SIP calculators accurate?

Accepted Answer

These mutual fund SIP calculators are generally accurate but the accuracy depends on the inputs provided as it is susceptible to market volatility.

Question 18

Is SIP better or Lumpsum?

Accepted Answer

SIP is a relatively disciplined approach that is more beneficial than lumpsum investment in the long run because it helps to average out the cost of investment and reduces the risk.

SIP & Lumpsum Calculator

Calculate the future value of your SIP & Lumpsum investment

Summary

Summary