A Systematic Investment Plan (SIP) lets you invest a fixed amount (e.g., ₹5,000) monthly in a mutual fund. It leverages rupee-cost averaging to reduce the impact of market volatility.
How SIP Works
You buy more units when prices are low and fewer when prices are high. Over time, this averages out the cost per unit, reducing timing risk.
Step-Up SIP
A step-up SIP increases your investment by a fixed percentage each year (e.g., 10%). This aligns with salary growth and significantly boosts long-term wealth.