You can invest a fixed sum regularly in mutual funds through Systematic Investment Plan (SIP). You can start an SIP and do your subsequent installments monthly or quarterly as per your needs and convenience. It is recurring deposits in mutual funds.
To open an account you need to fill the required forms along with KYC. You do this online and offline. For online you can fill the forms online and submit. For offline you can download the forms and fill and submit to the nearest branch. Once you are done with the forms you can do your first SIP transaction. This is the procedure of how to open SIP account in Kotak mutual fund.
You will get an account statement confirming your SIP transaction with in a few days. You need not write a cheque for every subsequent installments you can directly debit the amount from your bank account periodically. For this you have to register only once. You get consolidated account statements for every installment on monthly basis.
Kotak Mutual Fund offers SIP as low as Rs.500 and multiples of Rs. 500. The minimum number of installments required is 6. If you fail to do 4 consecutive transactions then the SIP will be terminated.
Increasing the SIP
Once you start an SIP you can increase the amount whenever you want. You need not start a new SIP you can register for the SIP Booster facility. This facility allows you to increase your SIP installment amount at predefined intervals. You have to register for this facility when you fill your SIP form. You can begin with a small amount and then increase your SIP installment amount after an interval of 6 months or 1 year.
To open an account you need to fill the required forms along with KYC. You do this online and offline. For online you can fill the forms online and submit. For offline you can download the forms and fill and submit to the nearest branch. Once you are done with the forms you can do your first SIP transaction. This is the procedure of how to open SIP account in Kotak mutual fund.
You will get an account statement confirming your SIP transaction with in a few days. You need not write a cheque for every subsequent installments you can directly debit the amount from your bank account periodically. For this you have to register only once. You get consolidated account statements for every installment on monthly basis.
Kotak Mutual Fund offers SIP as low as Rs.500 and multiples of Rs. 500. The minimum number of installments required is 6. If you fail to do 4 consecutive transactions then the SIP will be terminated.
Increasing the SIP
Once you start an SIP you can increase the amount whenever you want. You need not start a new SIP you can register for the SIP Booster facility. This facility allows you to increase your SIP installment amount at predefined intervals. You have to register for this facility when you fill your SIP form. You can begin with a small amount and then increase your SIP installment amount after an interval of 6 months or 1 year.
Benefits of SIP
There are many benefits of investing through an SIP account. They are as follows:
You can buy more units when the market is low and less when the market is high. This averages out the cost of buying mutual fund units.
SIP supports the power of compounding. The longer you stay invested the more the benefits of compounding.
SIP is a smart tool as it allows you to invest small amounts. You can break your big goals into smaller amounts. You can invest small amount regularly through SIP to reach your big goal.
Investing through SIP helps you to avoid timing the market.
SIP is a convenient tool as you can invest small amounts monthly without affecting the household budget.
Kotak Mutual Fund offers various mutual fund products in which you can invest through SIP.
There are many benefits of investing through an SIP account. They are as follows:
You can buy more units when the market is low and less when the market is high. This averages out the cost of buying mutual fund units.
SIP supports the power of compounding. The longer you stay invested the more the benefits of compounding.
SIP is a smart tool as it allows you to invest small amounts. You can break your big goals into smaller amounts. You can invest small amount regularly through SIP to reach your big goal.
Investing through SIP helps you to avoid timing the market.
SIP is a convenient tool as you can invest small amounts monthly without affecting the household budget.
Kotak Mutual Fund offers various mutual fund products in which you can invest through SIP.
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