Business News Desk – The habit of saving among Indians is years old. Where once mother used to hide money in a box of flour. Now people invest and save in different ways. For this, support of mutual funds and other savings schemes is taken. The best and most profitable way to invest in mutual funds is SIP. This makes it clear that the popularity of mutual funds is increasing rapidly with time. But are you aware of the unusual types of SIPs that you can make a part of your investments? Here we will tell you about 5 such SIPs. Let us know about it.
Step-up or Top-up SIP
This is a common alternative to SIP, called top-up SIP or step-up SIP. In this you keep increasing the amount from time to time. Suppose you invest Rs 10,000 every month in a SIP and you increase it at the rate of 10% annually, then it means that from the next year you will invest Rs 11,000 in it. Simply put, Step-up SIP lets you increase your SIP at a fixed rate every year. With top-up SIP you can earn more money than regular SIP.
Flexible SIP
The second name in this list is Flexible SIP, in which you can change the SIP investment as per your need. In this method you can change the SIP amount or its frequency. If you want to change any of the SIP terms, you will have to inform your fund house. However, this change is applicable from the next date of SIP payment. In Flexible SIP, you can increase or decrease the amount as per your convenience. For this, you can decide it based on the market conditions and your income.
Perpetual SIP
Perpetual SIP is like regular SIP, but there is no fixed investment time limit in it. In this you have to keep investing until you request the fund house to close the SIP. This SIP is a better option for long term and you can close it anytime as per your need.
multi sip
Multi SIP is just like its name, in this you can invest simultaneously in multiple plans of one fund through a single SIP. If you plan to invest in five schemes of the fund with Rs 5000, this amount will be invested at the rate of Rs 1000 in each of them.
trigger sip
Investments in trigger SIP are made only when some special event happens in the market. It includes events that have a positive impact on the market. Apart from this, NAV level can also be the reason for this. If you want to invest in this type of SIP, you must have a good understanding of the market so that you can take advantage of it.
