SIPs allow an investor to deploy the principle of rupee cost averaging to take advantage of market volatility. When the NAV of a fund is high (typically when markets have risen) fewer units of a fund would be purchased from the investment amount and when the NAV is lower more units of a fund would be purchased with the same investment amount, thereby reducing the average cost of units purchased over a period of time.
Hence, if you intend to invest through SIPs over a long tenure (5-10 years), then you could divide the allocation between a large cap and mid-cap fund, perhaps in equal proportion or 60:40 in favour of large caps based on your risk appetite.
Alternatively, you could invest in an equity diversified fund that invests in a mix of large, mid and small caps in a proportion based on the fund manager's views.
Invest Rs 1,50,000 and Save Tax up to Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds. Save Tax Get Rich
For further information contact SaveTaxGetRich on 94 8300 8300
OR
You can write to us at
Invest [at] SaveTaxGetRich [dot] Com
OR
Call us on 94 8300 8300
No comments:
Post a Comment