2. Systematic Investment Plan
• Systematic Investment Plan (SIP) is an
investment vehicle offered by mutual funds to
investors, allowing them to invest using small
periodically amounts instead of lump sums.
The frequency of investment is usually weekly,
monthly or quarterly.
6. Advantages
• Advantages of investing in equities
• Diversification
• Minimizes the effect of investing in volatile
market
• Professional fund manager
• Significantly reduces the risk attached to
market timing