Daily Systemic Investment Plan (SIP): Things to keep in mind

Systemic Investment Plan (SIP) is the globally successful product. The reason is, because it is proven and time tested strategy. In India, now fund houses are re-inventing the SIPs.

Few mutual fund houses have launched daily SIPs in India. It is much like depositing a penny in a piggy bank daily.

Here is a Pocket guide on Daily SIPs & things you must keep in mind before investing in it,

- Bharti AXA Invt & ING Invt are the first fund houses to introduce daily SIPs in the Indian Market. Sahara Mutual fund will soon introduce the daily SIP.

- SIP helps to do rupee-cost averaging in the long run and reduces your over all entry price in the market and thus higher gain.

- Daily SIP scores over the monthly one as it provides larger benefits of rupee-cost averaging.

- Daily Investment amount can be as low as Rs.99

- Before going for Daily SIP, check if there are any incremental transaction charges.

ING Investment Management Daily SIP -

ING was the first fund house in India to launch the Daily SIP. It is known as Zoom Investment Pack (ZIP). Under the scheme, Investor’s money was collected as a lump sum and allocated on regular basis (daily) in the market.

It requires a minimum investment of Rs.5000 and you can choose to invest Rs.99 per day.

Bharti Axa Daily SIP -

Here you are required to shell out a minimum Rs.300 per day that sums up to Rs.6000 per month (for 22 working days). It operated like any other mutual fund.

Sahara Daily SIP -

Sahara Daily SIP plans to raise money 365 days a year irrespective any holidays. The fund proposes to infuse the money on a daily basis in the market.