Learn how to invest with small amounts and make your dreams come true hassle-free
It’s high time you do something for the future-you!
Everyone has dreams and goals they want to achieve with a limited income. There are smart ways of making them happen within the timeframe you want.
Get a monthly subscription for your investments today– time to SIPscribe!
A Systematic Investment Plan (SIP) lets you invest in mutual funds with a fixed amount every month. SIPs start at just ₹100 on NiyoX, way less than the cost of your food order.
For the best SIP plans, head over to your NiyoX app now.
What is an SIP?
A Systematic Investment Plan (SIP) is an easy way of investing in mutual funds. It allows you to invest within your budget, a fixed amount of money every month/ When you invest this way systematically, it becomes easier to be disciplined and consistent in reaching your goals.
How does SIP work?
Investing through SIP buys you a certain number of units of a mutual fund. When you invest over a long period, you get to invest in the mutual fund through its highs and lows. You don’t have to worry about timing your investment, which could otherwise be a very time-consuming exercise.
SIP makes investing simple for you. You just have to decide
- Duration in which you want to reach your goal
- Overall amount you want to invest in a mutual fund
- Rate of return you expect
You can use an online mutual fund SIP Calculator to find the amount you’ll need to invest via SIP. You can then automate your monthly investments by setting up an auto-pay on your savings account.
What are the benefits of investing in SIP?
1.Brings in discipline: Investing on a pre-set date every month makes you invest a fixed amount and with time it becomes a habit, turning you into a disciplined investor. It’s a best practice to make an SIP soon after you receive your salary rather than waiting till the month-end when you may or may not have sufficient money to invest.
2.Power of compounding: Wondering how this works? When you invest in SIP, the returns you earn from your initial investment are put right back into the mutual fund and that amount also earns returns. Although it is a simple concept, in the long run, you’ll see a sizeable return.
The power of compounding works in your favour–the sooner you start investing through SIP, the bigger corpus you’re bound to create for the future you.
Here’s a quick look at how getting a headstart with SIPs accelerates growth. Consider saving for your retirement at the age of 60. If you start with investing ₹1000 every month expecting returns of 12% p.a. on your investments, here’s what the final amount you create will look like:
3. Rupee Cost Averaging: It means that since you make an SIP every month, you get more units of a mutual fund when the market goes down and fewer units when the market goes up. And in the long run, the effective cost per unit of the mutual fund averages out. The longer you stay invested, the average cost tends to become lower.
4. Market timing: Like most investors, you may not have the time to do market research and analysis to adjust your investment portfolio. With an SIP, you just need to pick a good fund once and the rest is taken care of.
5. Low initial investment: Did you think investing needs a lot of money? SIPs make it easier for everyone to get started with investing. Now that SIPs are made possible with just ₹100, you don’t have to worry about not having enough funds.
6. Convenience: Since you invest small amounts at regular intervals, it won’t break your budget–you decide how much and how long you want to invest! Moreover, you can give a standing instruction to your bank to auto-pay the amount without having to worry.
7. Achieve financial goals: An SIP is a smart way to break your big goals into smaller manageable chunks to help you reach your goals at a pace that suits you the best.
How to start an SIP?
All you have to do is choose a mutual fund. And we will take care of the rest for you, month after month. In a matter of time, you’ll achieve the financial goals you planned for the FUTURE YOU.
Subscribe for today. SIPscribe for tomorrow.
Q: Why should I choose an SIP?
A: An SIP is an easy and cost-effective way of investing your money in mutual funds. It is a good option if you are new to investing or want to minimize your risks and invest a fixed amount in mutual funds regularly.
Q: What is the difference between an SIP and Lumpsum investment?
A: These are two modes to invest in mutual funds. Here are a few variables that’ll help you decide which one is a better option for you:
Q: What is the best time to invest through an SIP?
A: The best thing about an SIP is that you don’t have to wait for the perfect timing to invest. Once you select a mutual fund to invest in, you can choose any date of the month (preferably the beginning of the month when you get your salary) and invest regularly. You can set up auto-pay in your savings bank account to make the entire process simpler.
Q: Is SIP a good investment option to create long-term wealth?
A: Investing through SIPs is an easy way of creating wealth for the long term. The power of compounding has a phenomenal effect on your investments. It might look like a very small amount initially, but the longer you invest, you make more profits.
Q: How much should I invest in a mutual fund through SIP?
A: NiyoX app allows you to start investing through SIPs at just ₹100/month. And there’s no upper limit on how much you can invest through SIPs.
Q: Can I skip an SIP payment?
A: You can skip/pause your SIP payments in case you’re unable to make the monthly payment at any point in time. And your account will not get deactivated when you do so.
Q: Do all SIP investments have tax benefits?
A: Not all, but SIP investments in Equity Linked Saving Schemes (ELSS) can get you a tax deduction of ₹1.5 lakhs/year under Section 80C of the Income Tax Act.
Q: How to invest in SIP?
A: If you are just getting started with investing, you can complete your online KYC right on the NiyoX app. Once done, you can decide on a mutual fund and get started with your SIP investments.
If you are looking for the best SIP to invest in, check out NiyoX app today.