Invest a little
make Good Money in a Long Run
*Ask 'Systematic Investment' questions
- systematic investment plans in
of the best
name a few mutual funds of India that we offer to sell
to our NRI clients (that includes both PIO & OCI) are:
Principal - PNB
What is a SYSTEMATIC INVESTMENT PLAN
Investment Plan is perhaps one of the simplest means of
investing money in the Share Market. As the name suggests,
Systematic Investment Plan, better known as SIP, is a method
of investing your money systematically. Moreover, SIP is
perhaps also one of the safest means of investing, as SIP
investors get better returns compared to a one-time investor.
More about NRI SIPs?
An investment method wherein the investor
invests a particular amount periodically
Similar to a conventional recurring
deposit, SIP is a method of investing regularly in a mutual
Allows investor to buy units on a
particular date, say 15th, of every month.
Investor decides the amount and also
mutual fund scheme.
Investor doesn't have to worry about
declining market as she/he can buy more units with the same
capital when the market is falling!
Investor automatically becomes a part and
parcel, and begins participating, in the market once s/he
begins with SIP.
For more information on investment plans, try:
SIP ensures rupee
cost averaging as periodic low capital investment certifies
that the investor gets the best out of the market. To begin
SIP, an investor needs to give either a post-dated cheque or
Electronic Clearing Service (ECS) instruction and the
investment will be made regularly in the desired Mutual Fund
(MF) for the required amount. But please note that SIP begins
with a minimum principal of Rs.2000 through
NriInvestIndia.com, with the maximum
amount, using an ECS, being Rs.25000. If you wish to invest
more than the upper limit, say Rs.50000 or 75000 in
just one scheme, then
you will have to do so on two or three
different dates respectively.
Advantages of SIP:
While it’s true that SIP is for those who cannot gauge the
market and fear risks, the fact remains that anyone can become
a SIP investor. All you need to do is plan your savings and
set aside a particular amount every month to be invested in a
mutual fund that is either a diversified equity fund or
balanced fund. Post-dated cheques can be given to the fund
house with the investor being at liberty to opt out of the
investment anytime depending on the market condition. How successful your SIP is depends on the performance
of your selected scheme.
We are quite sure
you would have realised the benefits of SIP but we would do a
quick recap of all the benefits for you.
Power of compounding:
Money will work only if invested at an early age and this
implies the power of compounding. The longer you delay
investing, the greater is the problem (read financial
burden) of meeting your desired goals. If you start saving,
rather investing, your money at an early age, the greater
will be the power of compounding with a momentous impact on
your wealth accumulation.
Rupee cost averaging:
Everyone cannot gauge or time the market. Rupee cost
averaging is an automatic market timing apparatus
eliminating the need to time the market. A SIP investor
doesn’t have to worry about where the market heads. S/he is
guaranteed good returns. Though SIP doesn’t guarantee
profits, it minimises the loss that one would otherwise face
in a fluctuating market.
SIP is also perhaps the most convenient mode of investing.
All that the potent investor has to do is provide a
post-dated cheque complete with the enrolment form or give
ECS instruction. The cheques will be banked on a
particular date and the units credited into the investor’s
account. The SIP facility is available in the Principal
Income Fund, Monthly Income Plan, Child Benefit Fund,
Balanced Fund, Index Fund, Growth Fund, Equity fund and Tax
can an NRI
invest in a SIP?
Now that we
have told you about SIP, what exactly it is, its features and
benefits, we will now proceed to tell you how to invest in
SIP. SIP guarantees returns, but how you invest makes a
difference. Hence the section on how to invest is described
Choose from a
range of equity and debt schemes
offered by us
The periodicity of SIP can be quarterly or monthly. At
NriInvestIndia.com the minimum SIP investment that you can do
is Rs.2000. Supposing you decide to opt for a monthly
SIP, you want to invest for 5 years, then you may go in for 60 instalments of Rs.2000 each.
If you pick a quarterly SIP, you can have 20
instalments of Rs.6000 each.
Amount can be deducted electronically from your NRI Bank
account every month.
You will get monthly statements
in your email or at your local Indian address.
The SIP facility can be availed by: