Systematic investment plan

An approach involving regular investments in order to take advantage of dollar-cost averaging.

Dollar-Cost Averaging

An investment strategy in which one makes investments in the same dollar amount at regular times. For example, one may buy $1,000 in Stock A every month, regardless of Stock A's current price. Because this means one buys fewer shares when the price is high and more when the price is low, dollar-cost averaging aims to reduce the average cost of the shares one buys. This increases the profit per share when one sells the stock. Dollar cost averaging is most common with shares of a mutual fund or a retirement plan. It is also called a constant dollar plan.

References in periodicals archive ?

Key features of Prospero's Systematic Investment Plan (SIP) module include:

SAGE launches Prospero's new SIP module

The Reliance Gold Savings Fund is India's first gold fund that offers a Systematic Investment Plan (SIP).

A world-first gold savings fund

What First Command does sell is a contractual investment product that it describes as a systematic investment plan. The product carries a 50% load on first-year contributions; the Times reported that contractual products are so expensive that they "all but disappeared from the civilian market almost 20 years ago."

Selling to soldiers: allegations of inappropriate sales of insurance and investments on military bases may forge a stronger partnership between the insurance industry, state regulators and the Department of Defense

If you have adequate monthly cash flow after making the maximum contribution, consider a systematic investment plan. Repay the loan from your pension plan as quickly as possible.

No time like the present

Given the nature of the NRI remittance, NRIs should choose to invest in equity schemes in the form of a Systematic Investment Plan or lump sum of any amount.

India reforms, elections would likely dictate NRI investment sentiment

Moreover, systematic investment plan (SIP) has also given the investors a choice as well as flexibility of investing periodically or in lump sum as per their preference, said COO Harsh Jain at Groww, an online platform which sells financial products including mutual funds.

MFs log Rs 1.4 lakh crore inflow in April, push AUM to Rs 23.25 lakh crore

In three steps, InstaMF enables investors to buy mutual funds or start SIPs (Systematic Investment Plan).

Sharekhan ventures into online investments in mutual funds

Buyers should do recurring buying of small quantity every month so that it will be like a systematic investment plan, says Anto.

WORTH IN GOLD

There are two options offered under this scheme-Growth and Dividend Option-and a special facility of Systematic Investment Plan (SIP).

IIFL Mutual Fund launches IIFL Dividend Opportunities Index Fund

Unlike insurance there is no penalty for stopping a SIP (systematic investment plan).

MUTUAL FUNDS SALE DROPS

A systematic investment plan allows investors to invest a fixed amount every month in a specified mutual fund.

Start early, invest regularly to enjoy retirement

Look at longevity of asset classes and create a portfolio which is meant to be invested for the long term 7 SIPS TAKE AWAY THE HUMAN BIAS: A systematic investment plan ( SIP) is something experts harp on.