Mutual funds investment plans have induced millions to invest in the money market. With plenty of lump sum and SIP (Systematic Investment Plan) schemes, almost every individual can become an “investor”. However, becoming a “wise investor” takes a lot more than just holding money in investment plans. You will get numerous opportunities to invest in mutual funds. Know more about mutual funds in terms of your expectations, risk-appetite and payability. Not all of us can make a huge lump sum investment just because a plan is highly profitable. So, SIPs seem like a better option in this case. If you have also been considering the same thought, there are few things you should get on your “to-do-list”.
Finding which plan is the most profitable and suitable one is the second task. The first one is determining the number of SIP investments. You have to do a simple permutation and combination taking all the variable factors into account. For doing this accurately, you should use a SIP calculator. Yes, you do not have to spend hours with a manual calculator and do all the number crunching. Use the most simple SIP calculator and get accurate results within a few minutes.
SIP investments are available in a range of plans and schemes. The minimum amount is as low as INR 100 per month while the maximum while there is no cap on the maximum amount. You can invest as much as you are willing to pay. However, whatever amount you choose to invest, you have to stick to it till the investment tenure expires. Thus, deciding the correct amount of investment becomes crucial to the investment process. Once you have a clear picture, there are plenty of high-performing SIP funds available to choose from. Just follow a few tips and tricks of investment experts to enjoy profitable outcomes in future.
As an investor, you have to be very clear about what you are expecting from the SIP mutual funds. You cannot go about making random decisions without analysing the consequences of the same. Remember, just like every investment, SIPs also come with the risk factor. That is why you have to ensure a few things before stepping into the market.
Once you know your budget and risk-appetite, a SIP calculator can help you get the job done in a few minutes. Several websites offer this online calculator that can help you with all the complex calculations in a few clicks. You need to sort out all the plans that suit your interests. Now, use the SIP calculator to get the estimation of returns from all the plans.
Using a SIP calculator takes a smartphone or computer, internet connection and a few simple steps.
In this way, you can identify which plan will yield how much profit. So, you can easily compare the returns and then choose the one that is offering more.
After finding all the possible outcomes of your preferred plan, you should choose the amount of investment that is yielding higher returns. Once you start doing the calculations with the SIP calculator, you are likely to find the same outcomes of different amounts of investments. So, you can easily make a comparison between the available options.
Investing in SIP mutual funds is a hassle-free task that requires very minimal documentation.
Identifying the correct amount of SIP investments can help one reduce the risks associated with the money market. The inevitable fluctuations in the market can cause hindrances during the investment process. If you make a rational decision and invest in SIPs considering all the important factors, those hindrances will not hit your pocket. Also, do not forget to choose a reliable service partner for investing. Enjoy the benefits of mutual funds investments through flexible payment options!
Disclaimer: This content is distributed by Scripbox. No TNIE Group journalist is involved in the creation of this content.