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Thursday, 10 June 2021

Home Learning Study materials Video | Standard 6

 Home Learning Study materials Video | Standard 6 | DD Girnar-Diksha Portal Video @

What are SIP mutual funds? Mutual funds are professionally managed investment vehicles that pool in capital from multiple investors. Investors buy MF schemes just like shares or stocks of companies and profits generated is later distributed among the investors according to the ratio of money invested. SIP or Systematic Investment Plan is a method of investing in mutual funds. You can invest through one time payment of a lump sum amount or make periodic investments. Process of making regular investments in MF scheme can be termed as SIP. That means you commit to pay a fixed sum say one thousand rupees per month. At the end of the year you will have invested twelve thousand in the scheme. Some SIP schemes ask for monthly payments while others allow for payments once in three or six months. The amount of payment also depends on the scheme.

Benefits of opting for SIP funds is that it brings financial discipline in your life forcing you to save a certain sum from your earnings regularly. Also regular payments make it affordable to greater number of people. All types of mutual funds do not offer SIP facilities. Liquid funds, cash funds and floating rate debt funds do not have SIP option. All types of Equity, Debt and Balanced funds usually offer SIP facility.

SBI schemes are a great option for first time investors. SBI MF has more than twenty years of experience and has consistently delivered high returns for its investors all through these years. With an investor base of more than 5.8 million it is one of the largest concerns operating in the country. Here are some top performing SIP plans from SBI.


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