Investment Tools

SIP (Systematic Investment Plan) allows you to invest a fixed amount regularly (monthly/weekly) in mutual funds. The amount is auto-debited from your bank account, and mutual fund units are allocated at the current NAV. Benefits include rupee cost averaging, compounding, and disciplined investing.

You can start a SIP with as low as ₹500 per month in most mutual funds. Some funds even accept ₹100/month SIPs. There is no upper limit.

Mutual funds are regulated by SEBI (Securities and Exchange Board of India) and managed by AMFI-registered professionals. Your money is held by a custodian (not the fund house), so it's protected even if the AMC faces issues. However, market-linked investments do carry market risk — the value can go up or down based on market conditions.

FD offers fixed returns (6-7% currently) with guaranteed principal. SIP invests in mutual funds which are market-linked and can potentially offer higher returns (10-15% historically for equity funds) but with no guarantee. They serve different purposes — FD for safety, SIP for long-term wealth creation. A balanced portfolio often includes both.

Yes! Open-ended mutual fund SIPs can be paused or redeemed anytime (except ELSS which has a 3-year lock-in). There may be an exit load (usually 1% if redeemed within 1 year for equity funds). We recommend staying invested for at least 3-5 years for equity funds.