Systematic Investment Plan (SIP) allows you to invest in mutual funds in a systematic manner. It is akin to investing in a Recurring Deposit(RD) of a bank. By enrolling for SIP, you commit to invest a fixed sum, at a fixed interval, for a fixed period in a pre-decided fund. Investing through SIP is an effective investment strategy as you commit to invest a certain percentage of your “take-home salary” and that goes a long way in ensuring that you save as you earn.
