Rupee-Cost Averaging
Instead of trying to time the market, by investing on a
regular basis, the investor benefits from the rupee-cost
averaging factor. As the investments are done over different
market cycles, the investor benefits from the market
volatility by getting to buy more units of the same fund when
the markets are low and buying lesser when the prices are
higher.
Power of Compounding
Compound interest is said to be the eighth wonder of the world
by noted scientist Albert Einstein. The rule of compounding is
simple, the earlier you start the more you benefit. Meaning
for every single rupee that you invest, it is deployed to earn
return. This in turn is also possibly poised to earn more
returns in future. A
regular SIP mutual fund
compounds your money and helps create wealth.