SIP: Common Beginner Queries Answered

This was originally posted by Vipul Panchal on 27th August 2020 on our FinTalks Facebook Group.

Wanted to clear few doubts about SIP.

Let’s assume I start SIP of 5000 per month.

1 - If I can’t pay so can we skip SIP for few months and then resume in the next month?

2 - In some months I have some extra money in hand so can I invest more in that month and then go back to the old amount in next month?

3 - Is it advisable to make multiple SIPs of smaller amounts or few SIPs of large amounts?

4 - If I have 30,000 in my portfolio and decide to withdraw 20,000 so I can still continue with my 5k SIP or SIP stops and I have to restart?

5 - Suggest some good apps to start SIP in terms of less brokerage and a good interface.

6 - If I invest via a financial manager I’ve to only pay the SIP amount and the rest everything they will manage? I can still access and see where they invested and portfolio or only they can see?

7 - How and where to get info and do research about which funds to invest in if doing myself? If some fund is showing good return rates and I invest and later the return reduces if the fund is not doing good what to do? I can change funds or stop SIP and start in new?

8 - If I start SIP in DSP Fund in the photo I will get 73.62% returns or there is some loophole? 5000x12 = 60,000 investment + 40+ returns?

All these queries were answered by our group members very neatly. You can follow the thread to learn and clear your doubts.

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