HDFC SIP plan known. Most of the investors to invest in HDFC mutual funds. At present, mutual funds are the high yield cash investments. High risk is involved in investing in these funds and shares. SIP is Systematic Investment Plan. Monthly invested in this plan. It is much similar to the recurring deposit. SIP plans are famous because they have numerous advantages. Benefits
SIP Plans Benefits :.
- It is economical.
- It makes you a disciplined investor.
- rupee cost averaging and lower per unit acquisition cost is possible.
- It allows the investment to grow the compound benefits.
- It helps you to achieve financial goals.
Middle-class people as people can invest in rural areas in this plan. Monthly investment is very low in the range of 100 to 500 roepies. So, it is economical. By investing, you will be required to pay the monthly fee. This plan disciplines middle class and the rural people. The investment will slowly increase and yield high returns. This helps investors to achieve their financial goals. Usually monthly investments are paid for months and years. In this period will be more number of units bought at low NAV and less number of units is bought at high NAV. This leads to rupee cost averaging. Due to the long term, averaging takes place and shares are purchased at low cost.
HDFC Bank introduced many mutual fund schemes. HDFC Top 200 scheme is a famous one. This scheme has a systematic investment plan. SIP investment return is 30.6%, while non SIP investment return is 27.51%.