- Insurance Companies
- Mutual Funds
|
Returns |
| Fund Name |
5 Years |
7 Years |
10 Years |
| Max Life |
33.56% |
19.72% |
|
| Tata AIA |
33.06% |
20.69% |
|
| Bajaj Allianz |
26.11% |
11.93% |
|
| HDFC Standard |
26.28% |
13.34% |
|
| Canara HSBC Oriental Bank |
18.66% |
9.86% |
|
| Bharti AXA |
23.24% |
13.96% |
|
| Birla Sun Life |
27.71% |
12.46% |
|
| ICICI Prudential |
24.94% |
12.68% |
|
| LIC |
- |
- |
|
| PNB Metlife |
23.2% |
17.21% |
|
Fund rating powered by
Last updated: Mar 2025
| |
Returns |
| Fund Name |
3 Years |
5 Years |
10 Years |
| QUANT |
23.92% |
31.48% |
|
| PARAG PARIKH |
20.69% |
26.41% |
|
| EDELWEISS |
22.34% |
24.29% |
|
| KOTAK |
24.64% |
25.01% |
|
| MIRAE ASSET |
19.74% |
24.32% |
|
| PGIM INDIA |
14.75% |
23.39% |
|
| DSP |
18.41% |
22.33% |
|
| CANARA ROBECO |
20.05% |
21.80% |
|
| SUNDARAM |
18.27% |
18.22% |
|
˜Top 5 plans based on annualized premium, for bookings made in the first 6 months of FY 24-25. Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in
What is an SIP?
SIP, which stands for Systematic Investment Plan, is a method of investing in mutual funds where an individual invests a fixed amount of money at regular intervals, usually monthly. This approach offers several advantages:
- Disciplined Investing: SIPs automate your investments, fostering a disciplined approach to saving and investing.
- Rupee Cost Averaging: By investing regularly, you buy more units when the market is down and fewer units when the market is up, averaging out the cost of your investment over time. This mitigates the risk of investing a lump sum at a market peak.
- Accessibility: SIPs make investing accessible to everyone, even with limited capital. You can start with relatively small amounts and gradually increase your investment as your income grows.
- Long-Term Growth: The power of compounding works wonders in SIPs. Over the long term, even small, consistent investments can grow substantially.
SIP Calculator
Monthly Investment
₹22.4 L
Top Funds with High Returns (Past 7 Years)
16.82%
High Growth Fund
16.57%
Top 200 Fund
13.25%
Accelerator Mid-Cap Fund II
13.43%
Opportunities Fund
9.13%
Growth Plus Fund
11.71%
Accelerator Fund
12.71%
Grow Money Plus Fund
14.1%
Multiplier
10.7%
Equity Top 250 Fund
11.43%
Future Apex Fund
10.91%
Opportunities Fund
12.95%
Frontline Equity Fund
15.2%
Virtue II
9.52%
Pension Dynamic Equity Fund
11.03%
Top 300 Fund
9.19%
Blue-Chip Equity Fund
When Is the Best Time to Invest in an SIP?
The answer is simple: The best time to invest in SIP is now. While market timing is often debated, for SIPs, time in the market is more important than timing the market. Here's why:
-
Start Now, Reap the Rewards of Compounding
The earlier you start investing, the more time your money has to grow. Compounding, the process of earning returns on your initial investment and the accumulated interest, plays an important role in wealth creation. The longer your investment horizon, the more significant the impact of compounding.
- For Young Investors (20s-30s): You have the greatest advantage – time. Starting early allows your investments to compound over a longer period, potentially generating substantial wealth for future goals like retirement, a down payment on a house, or children's education.
- For Mid-Career Professionals (40s-50s): While you may have less time than younger investors, starting a SIP now can still help you achieve your financial goals. Consistent investing can build a comfortable retirement fund.
-
Stable Income
Before starting an SIP, ensure you have a stable and reliable source of income. Your SIP contributions should be a comfortable part of your budget, not a financial strain. Assess your income and expenses to determine a realistic amount you can invest regularly without compromising your financial stability.
-
The Beginning of the Month
Many financial advisors recommend starting your SIP at the beginning of the month, ideally soon after receiving your salary. This approach offers several benefits:
- Financial Discipline: Investing early in the month prioritizes your savings and prevents impulsive spending.
- Avoid Procrastination: Delaying your SIP can lead to missed opportunities and reduced returns.
- Rupee Cost Averaging: Consistent investments at the start of the month allow you to participate in rupee cost averaging, buying more units when the market is down and fewer units when it's up.
-
Lump Sum Gains and Special Occasions
While regular SIPs are ideal for consistent investing, you can also consider starting a SIP when you receive a lump sum of money, such as a bonus, inheritance, or tax refund. This can give your investment portfolio a boost.
Special occasions, like birthdays, anniversaries, or festivals, can also be a good time to start a SIP. It can be a symbolic way to mark the occasion and invest in your future.
-
Goal-Oriented Investing
Investing with a specific financial goal in mind can be a powerful motivator. Whether you're saving for a down payment, retirement, or your child's education, having a clear objective helps you determine the amount you need to invest and stay committed to your SIP.
Other Important Things to Consider Before Investing in SIP
Here are some other factors to consider:
- Risk Tolerance: Understand your risk tolerance before investing in mutual funds or other market-linked funds. Choose funds that match your risk appetite.
- Financial Goals: Define your financial goals and choose funds that can help you achieve them.
- Fund Performance: Research the past performance of the mutual funds you're considering, but remember that past performance is not indicative of future results.
- Expense Ratio: Consider the expense ratio of the mutual fund, as it can affect your overall returns.
Conclusion
The best time to invest in SIP is not about timing the market; it's about starting as early as possible and staying invested for the long term. Consistency, discipline, and a goal-oriented approach are key to successful SIP investing. So, don't wait for the "perfect" moment. Start your SIP today and embark on your journey towards financial freedom.
FAQs
-
Can I start a SIP with a small amount?
Yes, many mutual funds allow you to start a SIP with relatively small amounts, making it accessible to a wide range of investors.
-
How often should I invest in a SIP?
Usually, SIPs are done monthly. However, some funds may offer weekly or quarterly options. Monthly SIPs are the most common and often recommended.
-
What is Rupee Cost Averaging?
Rupee Cost Averaging is the process of investing a fixed sum of money at regular intervals, regardless of the market conditions. This strategy helps you buy more units when prices are low and fewer units when prices are high, averaging out the cost of your investment over time.
