Mutual Fund and SIP: Why are people interested in investing in mutual funds and SIPs?

Many people invest in mutual funds and do SIPs in India. They have become an important investment option not only in small investors but also among big investors. Investing in mutual funds is now very common. Investors will get an opportunity to start with a small amount by SIP. It gives good returns in a long time. Many people are convinced that the market will increase or decline in the market in a long time.

mutual funds

The number of investors investing in mutual funds is steadily increasing. Investors now understand that mutual funds can give good returns in a long time. It is now very easy to invest in mutual funds through digital platforms and mobile apps. Investors can track their investment through mobile applications and websites. You can invest in mutual funds with one click.

Mutual funds have given good returns in the last few years. Equity mutual funds, especially, have given a good return to investors during the market rapidly. This has increased the confidence of investors. Most people are convinced that equity funds usually provide 10 to 12 percent returns. However, it depends on the ups and downs of the market. Sometimes it may come and decrease.

SIP

Investors can start investing in the minimum amount through SIP (systematic investment scheme). Rupee. Can start from 500. SIP prevents anxiety to invest in large quantities. The biggest advantage of SIP is that it will give you good returns in a long time. Your investment amount increases. By SIP you can prevent ups and downs in the market. This means that good returns can be obtained in a long time.

Some mutual funds, such as ELSS, can provide tax benefits. This makes it more attractive. Most people understand the importance of investment. In the past, only large investors have invested in mutual funds. But now small investors are following this route.

They get information about mutual funds and SIPs through internet, social media and workshops. It is estimated that SIPs return to 15 percent. However, it also varies on the basis of market. SIP is also a method of investing in mutual funds. However, you have to make some monthly monthly investment. It is important to have discipline for this investment. Even in SIP, investment will be good for a long time.

Despite the falling market, investment in mutual funds is increasing. In terms of December 2024, investment in mutual funds through SIP has reached Rs 26,459.49 crore.

Note: Mutual funds and SIPs provide your return based on the jump of the market. Sometimes it is more likely to come and some more times. Seek expert advice.