What is SIP?
Mutual funds help you inculcate the habit of saving/investing
regularly with the help of the SIP facility (SIP stands for Systematic Investment Plan).
SIP requires you to invest a fixed amount at periodical intervals of time (each week,
month, quarter) in a mutual fund scheme. SIP is especially useful in equity investing.
Equity markets tend to move up and down on a daily basis (this is called volatility).
When you use the SIP facility in equity investing, you are able to take advantage of
this volatility by lowering your cost of investment.