Because that’s the only way. At least Dory and Marvin did it to find Nemo. It’s always small steps that lead to bigger dreams. And it’s also smarter to invest in Mutual Funds in small amounts every month. Until you have what it takes to achieve your goals. Here’s why you should start an SIP to build wealth:
THERE’S NEVER ENOUGH MONEY
Which is why you should start an SIP. You don’t need a lot of money to start an SIP. Most people start with Rs.1000 every month or in some cases Rs.100 depending on the fund. Which is nothing but one dinner date or a movie in a month. And the best way to do is to set up an auto-debit on the day after you get your paycheck. So, you invest before your routine expenses.
THE MARKETS WON’T SCARE YOU
The market goes through its ups and downs. But when you start an SIP, you don’t let fear or greed affect your decisions. By regularly investing, despite the market’s volatility, you average out the cost of investing. This makes any time a good time to invest as market fluctuations don’t impact the growth.
CLASSROOM LEARNING FINALLY COMES HANDY
All of us have studied compound interest in school. Well, if you start an SIP, you would be glad that you remember what you learned back then. When you keep investing through SIP, you earn interest not only on the principal amount (invested amount), you earn interest on earned interest. So, when your SIP is on an autopilot mode, your money keeps multiplying at a higher rate due to compound interest.
YOU GROW WITH YOUR MONEY
You know you shouldn’t keep tracking your investments. So, you don’t get upset when the market is low. But, we know it’s hard. Everyone wants to keep track of the money they have invested. And there are benefits of that too. When you invest regularly through SIP, you learn more about the market. And in no time, you become a seasoned investor.
BUT MOST IMPORTANT ‘DO NOT TO OPEN THE OVEN UNTIL IT’S DONE’
When you start an SIP, you choose the investment amount, number of months, auto-debit date and forget about it until you reach your goal. You still have a choice to stop or pause your SIP whenever you want to. But who likes an undercooked cake? Enjoy it when it’s done.
So now you know we say, keep SIPing, just keep SIPing.
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*Mutual fund investments are subject to market risks, read all scheme related documents carefully.