frame

Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

Sign In Register

Lump sum vs SIP: Which one is a better Investment Option?

If you’re confused which one to opt for let me start by explaining both the concepts.
SIP is a disciplined form of investing where you invest at a determined frequency. With this, you invest both the times, i.e. when the market is high and when the market is low. This gives you a weighted average return over a period of time.
One time investment is investing the entire amount in one go. This also requires a better understanding of the market trends.
Both have different advantages:
SIP:
-It gives you a disciplined way of investing
-It helps with rupee cost averaging
-There is no need to time the market

Lump Sum investment:
-If you time the market and invest at the right time, i.e. when the market is low, you might make more returns compared to SIP.

Coming to your second question, which one is better? I believe that a successful strategy is a combination of SIP and lump sum investment. This means that you need to keep investing in SIP and invest a Lump sum when the market is low.

If you have made your mind you may start investing with HDFC securities. I have been trading with them for last 3 years and can say that they are the best in the industry.
Here’s the link for the same: https://www.hdfcsec.com/open-trading-ac

Sign In or Register to comment.

Trade Brains | Discussion Forum

| Learn to Invest in Stocks
Copyright @ 2019 |Trade brains is a financial education blog focused to teach stock market investing and personal finance to the DIY (do-it-yourself) investors in order to make, grow & sometimes even spend money. #HappyInvesting
Powered by Dailyraven Technologies

Contact us

info@tradebrains.in
contact@tradebrains.in
(+91) 8297411244

Get In Touch