Random Decisions Can Derail Systematic Investing

Hemant Rustagi Chief Executive Officer, Wiseinvest Pvt Ltd.

Systematic investing, through SIP, brings a discipline into your investment process. Since you commit to invest a fixed sum on a fixed date in a pre-decided fund, you become an unemotional investor. In other words, when you invest in equity funds through SIP, you save a part of your income every month, avoid timing the market and benefit from averaging. And if you stay committed to your time horizon as well, you can tap the true potential of equity and benefit from the power of compounding.