Systematic Investment Plans (SIPs) have become a popular investment method for individuals looking to build wealth over time. If someone invests in mutual funds, this news is useful for them. LIC Mutual Fund is launching a new daily SIP starting at Rs 100. This initiative follows SEBI’s promotion of micro SIPs and encourages greater participation from retail investors. Under this change, the minimum daily SIP amount will be reduced from Rs 300 to Rs 100. Additionally, the minimum monthly SIP amount, currently Rs 1,000, will be lowered to Rs 250.
Shweta Rajani, Head of Mutual Funds, Anand Rathi Wealth Limited said that LIC Mutual Fund’s launch of SIP of Rs 100 per day is a big step towards making investing simpler and more accessible. Investors can create a large corpus by starting SIP with a small amount. However, you do not need to invest daily to see good returns. You can also get good returns with monthly SIP.
The difference in returns between daily SIP and monthly SIP
Let us tell you that there is very little difference in returns between daily SIP and monthly SIP. There is a difference of about 0.1 percent between the two. Therefore, it is better for investors who are doing monthly SIP to invest in monthly SIP only. The Rs 100 daily SIP being started by LIC Mutual Fund is very good for people whose income is low. Small shopkeepers or working youth can invest in it. It is also good for people who want to spend their money in the right way.
Shweta Rajani said it is important to keep some things in mind before investing in it. Before investing, see whether this investment fits your financial goal, it can be short-term or long-term. Apart from this, spread your investments across different market cap categories to balance the risk. Your goal should be that your returns outpace rising inflation.