How to book your profits on SIPs?

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Before you book your profits on the SIP, use SIP Investment Calculator to find out your returns on the same. Now, if you see you have reached your goal which you set while investing in this mutual fund scheme, then you can sell the fund's units and realize the profits made.

When the markets are soaring, you may think of booking profits from your  SIP Mutual Fund . However, whether are you sure of doing it, or whether it will be the right move or not toward your investment goal is something to consider before booking profits. So, when to book profits and how to book profits in SIPs is crucial to figure out.

What are SIPs?

SIPs stands for  Systematic Investment Plan which helps you invest in mutual funds on an installment basis or periodic basis. Since everyone can't invest a lump sum amount in mutual funds, SIPs were started. With SIPs, one can invest small amounts, it can even starting from Rs. 100 a month into mutual funds. This reduces the burden on the investors regarding lump sum investments.  

SIPs are also the safer way to  invest in mutual funds  compared to lump sum investments. The reason being the market is volatile. So, when you invest via SIPs, you are not putting a bulk amount at risk rather, you are mitigating the risk to a great extent by spreading the investment over time... Read More