SIP vs Recurring Deposit: Which investment plan is more effective for wealth creation?
2 weeks, 5 days ago

SIP vs Recurring Deposit: Which investment plan is more effective for wealth creation?

India TV News  

SIP vs Recurring Deposit: Which investment plan is more effective for wealth creation? Let’s understand this with an example SIP Scenario: Investing Rs 10,000 per month in a mutual fund with an assumed 12 per cent annual return for 20 years can generate approximately Rs 99.9 lakh. On the other hand, SIPs involve market risk, but when invested consistently over a long period, the market volatility averages out, and the potential 12 per cent return helps in significantly outpacing inflation. While recurring deposits provide safety and predictability, they fall short in terms of wealth creation potential due to lower returns and higher tax liability. On the contrary, systematic investment plans offer higher returns, tax efficiency, ability to beat inflation and accrue wealth for financial goals.

Tax Wealth Investment Wealth Creation Cent Return Returns Creation Financial Goals Sips Tax Efficiency Informed Risk Sip Vs  creation  longterm  return  tax  returns  effective  deposit  wealth  compounding  sip  vs  cent  plan  sips  rds  investment  recurring

History of this topic

SIP: pause and restart, or continue?
3 weeks, 4 days ago

SIP: pause and restart, or continue?

The Hindu  

Some critics argue that systematic investment plans expose your investments to high risk when market valuations are rich. Also, the more frequently you try to time the market for multiple investments, the more you are likely to risk making suboptimal decisions. The tenure of an SIP on a passive equity fund must preferably match the time horizon for a life …

SIP inflows reach ₹26,400 crore: Do’s and don’ts for successful wealth building
1 month, 1 week ago

SIP inflows reach ₹26,400 crore: Do’s and don’ts for successful wealth building

Live Mint  

Systematic Investment Plans continue to maintain strong momentum as a favored investment strategy, with contributions reaching nearly ₹26,400 crore in January 2025, just shy of the record ₹26,459 crore in December 2024. Experts emphasize that while SIPs provide a disciplined approach to wealth creation, investors must follow best practices to optimize returns. Avoid chasing past performance: Selecting funds purely based …

Why Systematic Investment Plan Is the Best Investment Choice
1 month, 1 week ago

Why Systematic Investment Plan Is the Best Investment Choice

The Hindu  

Top 12 Reasons Why SIP Is the Best Way of Investment Though there has been a significant surge in the number of mutual fund investors in the last few years, many still wonder “Is SIP a good investment option?”. Let us delve deeper into some of the core reasons why a mutual fund SIP stands out among other investment options …

SIP vs lumpsum: Which is better option for investment in mutual funds
1 month, 2 weeks ago

SIP vs lumpsum: Which is better option for investment in mutual funds

India TV News  

SIP vs lumpsum: Mutual funds are one of the most popular choices among investors these days. Let's understand - Systematic Investment Plans or SIP - SIP is a very popular way of investing in mutual funds. - Financial experts believe that if you invest money in SIP for a long time, keep increasing the investment over time and also remain …

Retirement planning: Are you saving enough money? Tips on SIP, EPF, and NPS contributions
2 months, 3 weeks ago

Retirement planning: Are you saving enough money? Tips on SIP, EPF, and NPS contributions

Live Mint  

Retirement planning is essential for ensuring financial security in the future. Industry experts suggest that a person can create a diversified, growth-oriented strategy by combining instruments like systematic investment plans with government-backed programs like the Employees' Provident Fund and the National Pension Scheme. Systematic investment plans “In today's world, it is very important to adopt an active style of retirement …

SIP Vs traditional saving: Which is better and secure financial option in India? EXPLAINED
3 months, 1 week ago

SIP Vs traditional saving: Which is better and secure financial option in India? EXPLAINED

India TV News  

SIP Vs traditional saving: When it comes to financial planning in India, choosing the right investment method is crucial for both growth and security. Systematic Investment Plans and traditional saving methods, such as Fixed Deposits, Recurring Deposits, and savings accounts, are two popular choices for investors. It has been seen that SIPs in equity mutual funds have delivered higher returns …

Mutual fund SIP calculator: How to accumulate ₹5 crore with a monthly Systematic Investment Plan of ₹5000
4 months ago

Mutual fund SIP calculator: How to accumulate ₹5 crore with a monthly Systematic Investment Plan of ₹5000

Live Mint  

A systematic investment plan provided by mutual funds enables investors to contribute consistently and systematically to their financial objectives. In this article, we will explain how to accumulate ₹5 crore by investing ₹5,000 monthly through a Systematic Investment Plan, using a mutual fund calculator to help you understand the process better. Courtesy Groww mutual fund SIP calculator Mutual Fund SIP …

Mutual fund SIP calculator: How to accumulate ₹5 crore with a monthly Systematic Investment Plan of ₹5000
4 months ago

Mutual fund SIP calculator: How to accumulate ₹5 crore with a monthly Systematic Investment Plan of ₹5000

Live Mint  

A systematic investment plan provided by mutual funds enables investors to contribute consistently and systematically to their financial objectives. In this article, we will explain how to accumulate ₹5 crore by investing ₹5,000 monthly through a Systematic Investment Plan, using a mutual fund calculator to help you understand the process better. Courtesy Groww mutual fund SIP calculator Mutual Fund SIP …

SIP vs Traditional Savings: Why Millennials Should Choose SIPs
6 months, 3 weeks ago

SIP vs Traditional Savings: Why Millennials Should Choose SIPs

Hindustan Times  

As millennials take on new responsibilities and financial commitments, the choice between SIPs and traditional savings becomes more significant. Higher Growth Potential Equity Mutual Funds, which predominantly invest in equities and equity-related investments in the stock market, offer higher growth potential compared to traditional investment options. Conclusion To sum up, a mutual fund SIP is a compelling alternative to traditional …

SIP For Growth, SWP For Income; Which One Is Right For You? Know The Difference Here
7 months, 1 week ago

SIP For Growth, SWP For Income; Which One Is Right For You? Know The Difference Here

News 18  

SIP and SWP are two popular investment strategies offered by mutual fund houses. Systematic Investment Plan : Purpose: SIP is designed to help you invest money regularly in a mutual fund over a period of time. Systematic Withdrawal Plan : Purpose: SWP is designed to provide you with a regular cash flow from your mutual fund investment. Investor Profile: SIP …

Why You Should Adjust Your SIPs for Inflation and Growth?
9 months ago

Why You Should Adjust Your SIPs for Inflation and Growth?

News 18  

SIPs are a popular investment tool for building long-term wealth. While SIPs offer a path to long-term wealth building, a static approach can be detrimental in the face of two crucial forces: inflation and income growth. By strategically increasing your SIP contributions in line with inflation forecasts, you ensure your investment grows alongside the cost of living, preserving your purchasing …

Unlocking Investment Potential: Mutual Funds, SIPs, and ELSS
9 months ago

Unlocking Investment Potential: Mutual Funds, SIPs, and ELSS

The Quint  

Investing in mutual funds has become increasingly popular among individuals seeking to grow their wealth steadily over time. Systematic Investment Plans : Consistent Wealth Building SIPs offer investors the opportunity to invest a fixed amount regularly, typically monthly, in mutual funds. Equity Linked Savings Schemes : Tax-Efficient Wealth Creation ELSS are mutual funds that primarily invest in equity markets and …

Building Wealth With SIP Mutual Funds: How To Make The Correct Choice? Here Are Some Top Performing SIP MFs In 2024
9 months, 3 weeks ago

Building Wealth With SIP Mutual Funds: How To Make The Correct Choice? Here Are Some Top Performing SIP MFs In 2024

ABP News  

Systematic Investment Plans have become increasingly popular amongst investors as a simple and efficient way to invest in the mutual fund market in India. When opting for a SIP mutual fund, it is important to conduct a thorough analysis of all the funds available in the market and access your financial goals. Investment goal - Based on your investment objectives, …

How to become rich: Your ₹5000 monthly SIP can help you grow ₹5.22 crore. Mutual fund calculator explains
11 months, 1 week ago

How to become rich: Your ₹5000 monthly SIP can help you grow ₹5.22 crore. Mutual fund calculator explains

Live Mint  

How to become rich: To become a crorepati and attain wealth through Mutual Fund Systematic Investment Plans, one should start by setting clear financial goals and choosing SIPs aligned with your risk tolerance and investment horizon. How to become rich through Mutual Fund SIP investments Regarding the strategy to amass wealth and become rich through SIP investments, Pankaj Mathpal, MD …

Wealth management under a new lens: Transitioning beyond SIPs
1 year, 4 months ago

Wealth management under a new lens: Transitioning beyond SIPs

Live Mint  

The stages in life are distinct – accumulation and de-accumulation – as are the investment decisions related to each stage. It is traditional for the novice/intermediate investor to turn towards SIP for accumulating wealth and set aside legacy fund at the end of wealth creation journey given SIPs' well known benefits. We can see how it helps set up withdrawal …

What is SIP? All you need to know
1 year, 9 months ago

What is SIP? All you need to know

India Today  

In today's fast-paced world, where financial stability and wealth creation are paramount, SIP has gained considerable popularity. By investing smaller amounts at regular intervals, investors can harness the power of compounding and navigate market fluctuations more effectively. Unlike lump-sum investments, where a significant amount is invested at once, SIPs enable investors to invest smaller amounts at regular intervals, typically monthly. …

Mutual Fund Investing: How do step-up SIPs give a boost to your wealth? Here are 4 ways
1 year, 11 months ago

Mutual Fund Investing: How do step-up SIPs give a boost to your wealth? Here are 4 ways

Live Mint  

When we set aside a small amount of money for the future, we understand the power of SIP’s; and when we continue investing and stay invested for a long time, we see the magic of compounding. Have a look at the numbers in the illustration below to see the impact when you add SIP step up as a strategy: Scenario …

Recurring Deposits Or Mutual Funds, What's Better For Investment?
1 year, 11 months ago

Recurring Deposits Or Mutual Funds, What's Better For Investment?

News 18  

The highest-ever monthly systematic investment plans inflow in mutual funds of Rs 12,693 crore was recorded in August 2022. The facility enables investors to make a fixed monthly investment and accumulate funds for immediate requirements. Similar to mutual fund SIPs, a discipline is gained from investing in RDs. Both RDs and SIPs enable investors to make a series of modest …

What is step-up SIP and how to do it? All you need to know
2 years ago

What is step-up SIP and how to do it? All you need to know

Live Mint  

When we set aside a small amount of money for the future, we understand the power of SIP’s; and when we continue investing and stay invested for a long time, we see the magic of compounding. Have a look at the numbers in the illustration below to see the impact when you add SIP step up as a strategy: Scenario …

SIP Investments: 6 common mistakes you must avoid to achieve desired financial goals
2 years, 2 months ago

SIP Investments: 6 common mistakes you must avoid to achieve desired financial goals

Live Mint  

How many times have you been told about the power of compounding that translates even the smallest systematic investment plans into an enviable corpus that can last a lifetime? One may attribute this behaviour to ignorance regarding how SIP investments work and the lack of understanding of how small investments, if unbridled over a prolonged period, can help people achieve …

SIP-top up facility: What is it and how does it work? Should you opt for it?
2 years, 3 months ago

SIP-top up facility: What is it and how does it work? Should you opt for it?

Live Mint  

SIP-top up facility: Investing via Systematic Investment Plan is considered to be one of the best ways to amass wealth keeping in view long-term horizon. Amit Gupta, MD, SAG Infotech said an investor can raise his or her monthly payment to an ongoing SIP by using a top-up service. SIP-top up also known as SIP Booster or SIP step-up option …

Mutual funds: Which SIP freqency to select for becoming crorepati?
2 years, 4 months ago

Mutual funds: Which SIP freqency to select for becoming crorepati?

Live Mint  

Becoming a crorepati when you hit retirement would be like a dream come true. You don't even need to burden yourself with a lumpsum investment amount, you can even become a crorepati by investing ₹1,000 on a daily basis. To provide a holistic picture to investors and help them make better-informed decisions for their investments via SIPs, WhiteOak Capital Mutual …

Investment through SIP: How to invest with less risk?
2 years, 5 months ago

Investment through SIP: How to invest with less risk?

Firstpost  

Mutual funds can also be risky, but the risk is less in comparison to direct equity investment We all want to invest our money somewhere where our wealth constantly grows and remains safe. Investing in mutual funds can be a really good avenue for investors who want to increase their money while having low risk of loss. One can put …

Long-term investors should consider investing in gilt funds through SIPs
4 years, 6 months ago

Long-term investors should consider investing in gilt funds through SIPs

Live Mint  

Gilt funds posted stellar returns in the past one and a half years and their dream run may continue. Tactical investing not for everyone If an investor understands the interest rate cycles, macro factors and the overall landscape, he can take tactical calls in gilt funds. Investors who have recently added gilt funds in their portfolio for a short-term period …

Opinion | Systematic investment plans don’t reduce the risk of investing in equities
4 years, 9 months ago

Opinion | Systematic investment plans don’t reduce the risk of investing in equities

Live Mint  

When it comes to investing, there are no certainties. Thus, the risk of landing in the worst return range actually increases for SIP compared with lump sum for 15-year holding period. Investing through a monthly SIP, say, for a period of 10 years, will not be a substitute for making lump sum investment of an equivalent amount at the start …

Opinion | SIPs are the perfect way to invest in the present tough market condition
4 years, 10 months ago

Opinion | SIPs are the perfect way to invest in the present tough market condition

Live Mint  

The Indian equity markets have had a terrible last month as they struggled to react to the developing spread of the covid-19 or novel coronavirus and the resultant global shutdown. We studied the Indian equity markets for the last 20 years—2000 to 2020—to see how SIP investors have fared in normal environments and how that experience changes after a sharp …

Money Dilemma: Should it be recurring deposits or SIP?
12 years, 3 months ago

Money Dilemma: Should it be recurring deposits or SIP?

Firstpost  

Today, we answer another such dilemma, should you invest in RD or SIP. : Systematic investment plan or SIP of mutual funds pretty much work like an RD. Take for instance, HSBC income short term gave a return of 9.41 percent per annum, from SIP invested from November 1, 2011 to November 1, 2012. And, Kotak Mahindra Debt Income Opportunity …

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