Reacting emotionally to fluctuating market moods is a common phenomenon that befalls even the most careful and well-intentioned of investors. It takes willful compliance to investment discipline to side-step such looming holes that often pop up in the event of unstable international, interconnected events.
Investment discipline is to an investor, what Yoga is to the body and mind. What seems unyielding and rigid in the early stages, gradually embeds itself into the practitioner’s conscious routine to such an extent that after a certain point of time, it becomes an element of habit.
One of the essential basics of investment discipline is to have a sustained, long-term investment strategy and a well-planned asset allocation practice that is adhered to without change even during times of tumult in the market.
Systematic Investment Plan or SIP, where the investor builds a portfolio through specific sums invested at regular intervals that may be monthly, quarterly or annually, is one investment avenue that aligns perfectly well with the obligations of investment discipline.
Savvy investors understand the fact that equities render higher expected returns than fixed-income investments, but subject to market risks. By the very nature of being a systematic mode of investment distributed over an extended period of times, SIPs overcome this market-induced fluctuation.
In general, SIP requires a fixed amount to be invested periodically. Clearly, this is a convenience to investors who are beginners and those who prefer to invest in small pockets.
In case of Step-up SIPs, as hosted by most of the CAMS-serviced funds, the SIP installment amount could be ‘stepped up’ at defined intervals.
Investing in SIPs have become all the more convenient with digital services hosted by camsonline.com and myCAMS, which facilitate setting up SIPs, viewing of SIP status and canceling SIP. No physical request is required for registration done through myCAMS. For more information on investing in SIPs through myCAMS, click here .
Designed to empower users with digital convenience, more than 500,000 users have chosen the myCAMS app to manage their Mutual Fund investments, including SIPs. It’s time you choose too.
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Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit www.camsonline.com