Frequently Asked Questions (FAQs)

• What is SIP?

  Systematic Investment Plan (SIP) is a way to invest an amount at regular intervals in chosen mutual fund schemes. Investors can pre-define the amount, the SIP date and the interval. It is probably the best and most disciplined way to achieve your goals and create wealth.

• What are the benefits of SIP?

  1. Small money can be invested:  Investors can start a SIP even Rs 500 in mutual funds, which is not possible in case you want to invest in shares. Shares of some of the listed companies trade at higher prices, which can't be owned by small investing directly with small amounts.
  2. Disciplined investing:  SIP instil discipline into investors by committing to invest a predefined amount at regular intervals which is essential for building wealth in the long-term.
  3. No need to worry about market volatility:  Investors receive more units when the NAV of a mutual funds fall and less units when NAV of mutual funds rise. Therefore, over a long period of time the cost of units to investors will be significantly lower despite ups and downs. This phenomenon is called Rupee cost averaging.
  4. Flexibility:  Investors have the flexibility to decide the SIP amount, period and interval of SIP as per their convenience.
  5. Offers diversification at small investment:  Investors can't diversify their portfolio with small investment surplus. But with mutual funds, they can get a diversified portfolio, even with investment of Rs 500.
  6. Professional management of investments:  Mutual funds are managed by knowledgeable and disciplined fund managers. Investors generally don't have in-depth knowledge of investing.
  7. Power of compounding:  Investors can stay invested in mutual funds for a longer period of time. Compounding is a phenomenon wherein over a period of time returns get added to corpus and this in return generates more return. This phenomenon leads to an exponential growth of corpus.

• How can I start SIP?

  Below are the ways you can start SIPs on the INDmoney website.

  1

  Login

  2

  Explore

  3

  Mutual Funds

  4

  Select fund

  5

  Invest Now

• How can I increase my SIP amount?

  Starting a new SIP in the same fund is the easiest way to increase the SIP amount in the fund. Below are the step to start a new SIP in the existing funds:

  1

  Login

  2

  Investments

  3

  Mutual Funds

  4

  Select fund

  5

  Invest More

• How can I redeem my SIP amount?

  Redeeming a SIP in the same fund is the very easy on INDmoney. Below are the step to redeem SIP amount in the existing funds:

  1

  Login

  2

  Investments

  3

  Mutual Funds

  4

  Select fund

  5

  Redeem

• What if I miss my SIP dates or don’t have sufficient money in my bank account?

  With auto-debit feature, firstly you don’t need to remember the debit dates as the bank account will get debited automatically on the date which you have selected for SIP. However, just in case for whatever reason the funds are not available in the bank account, you will miss one SIP. There is no penalty or any fee. Your SIP account remains active even if you miss one SIP date but after multiple misses, it gets cancelled.