There are various SIP Plans in India. In this article, you will read about best SIP plans in India and various ways to choose the right SIP plans in India.
Most of the experienced investors are well-aware of the Systematic Investment Plan or SIP and the significant advantages it offers. After all, this is an easy and convenient way of creating wealth over a long period of time without any hassles. Over the course of time, SIPs turn every investor confident of his or her financial investments.
It is no wonder to find a significant rise in the number of investors taking interest in SIP funds and investing in sound mutual funds. SIP investments have seen a surge of 42 per cent despite stock market volatility, rising crude oil prices, and rupee depreciation. SIP flows have almost reached the Rupees eight thousand crore mark, based on the data available with Association of Mutual Funds in India. Clearly, SIPs have been enjoying great popularity among mutual fund investors.
Now the question arises as to which SIP plans are best to invest in or what are the best SIP plans in India? The growing popularity and increasing awareness of SIPs reflect upon certain equity schemes and Equity Linked Saving Schemes that have generated the maximum returns for SIPs. Some of the top SIP performers include names like Kotak, HDFC, ICICI, SBI, Aditya Birla, Reliance, Canara, to name a few. However, one should be aware that there is no guarantee for future performance based on the past performance. Some of the schemes may perform even better in the coming years. Still, one can study the different SIPs funds in India, including midcap, large cap, small cap, and value funds that are at least 10 years old to get a good idea.
Best SIP plans in India
Some of the best options for individuals looking for the right options for SIP Investments are based on the high Return on Investments or RIO schemes. These SIP funds and various schemes have shown exceptional performance over the past few years over the other mutual fund schemes.
- Axis Bluechip Fund – Axis Bluechip Fund is among the top SIP performers in 2018. Its outperformance is impressive and holds good command over a more extended time period. The fund still managed to outperform despite fluctuations in the market.
- Kotak Standard Multicap Fund – Kotak Standard Multicap Fund was launched in 2009 and has shown strong resilience to protect the investors during volatile market conditions. With the fund fairly diversified in more than fifty stocks, investors can look for impressive growth opportunities in the mid-cap space.
- Franklin India Prima Fund – Another premier equity fund is Franklin India Prima Fund that offers capital appreciation and regular dividend income to the investors. The fund has shown capability of creating wealth irrespective of fluctuating market conditions.
- HDFC Small Cap Fund – The SIP fund has proved to be a promising Indian SIPs investment over the past year and losses are low in comparison to the whopping losses of other schemes. The fund has managed to outperform its benchmark despite the rough ride in 2018.
- Mirae Asset Tax Saver Equity Fund – Mirae Asset Tax Saver Equity Fund has become popular among investors within a short period of time. The Indian SIP fund has not only outperformed but beaten its peers in the market.
Some other names added to the above list of Top SIPs of India include Invesco India Contra Fund, DSP Equity Opportunities Fund, and Axis Long Term Equity Fund. Now that you are aware of the most prominent players in the field, why not embark your journey to successful wealth building?
SIP or Systematic Investment Plan keeps you safe from the dynamic market conditions. Whether the market falls or rises, your SIP investment will keep growing at a steady rate. There are weekly, monthly, or quarterly systematic investment plan. All you need to do is go online and fill the personal and bank details in the scheme form of your choice. Net Asset Value (NAV) is calculated based on the face value of each unit of the equity mutual fund. Even if there is fluctuation in the stock market trades, the NAV does not change, but it does get computed at the end of each day after the market closes.
How to Choose the right SIP?
Every investor has different objectives behind investing. There is also variation in the amount they can invest, depending on the time period and purpose. However, while choosing the right SIP plan in India, you need to keep certain features in mind in order to be sure of their deskins.
Here are some of the important aspects to take care of while considering different SIPs.
- The time duration – The length of the SIP plan and the time period will impact the tax, risks, and overall returns. In order to get maximum return on investment, it is advisable to invest in the SIP plan that have longer tenure to gain higher returns.
- The performance of the fund – Check the reputation of the fund in the investment market beforehand and study its performance during the market fluctuations.
- The process of investment – The SIP investment should be simple, easy to follow, and hassle-free. The investor should be able to make any changes to his plan as and when required.
- The investment goal – There is a purpose and goal behind every investment and the SIP plan you are choosing must fulfil and meet those financial goals.
There is a wide range of investment plans available in the market to choose from Set the goals based on the past performance of the funds and the reputation of the scheme. The route to SIPs is simple and easy once you study the most popular and rewarding Indian SIP funds out there. Carefully make useful comparisons based on your financial objectives. Once you are sure and confident of a SIP, go ahead, and make an investment.
Author has keen interest in writing for various investment schemes. This article precisely focuses on Systematic Investment Plans in India. Writer has focused on SIP plans in India.
