Daily SIP: Many believe that investing is not their cup of tea. However, with the right education and a dedicated strategy in mind, anyone can make their money earn for them. One of the most common ways that many investors or potential investors prefer to start their journey is through mutual funds.
A mutual fund is basically a pool of money managed by a professional Fund Manager. Mutual Funds offer investors the facility to either invest in lumpsum or through a Systematic Investment Plan (SIP). It is a facility offered by mutual funds to investors to invest in a disciplined manner.
A mutual fund scheme is chosen, and an investor uses SIPs to invest a fixed amount—which could be as little as Rs 500—at predetermined intervals. An investor can begin a SIP in one of four ways: daily, weekly, monthly, or quarterly.
What is Daily SIP?
The Asset Management Company (AMC) provides investors with the ability to make tiny daily contributions through a Daily SIP, just like with any other frequency of SIP. Investors can choose any day to begin a Daily SIP at any time.
A Daily SIP will be registered 30 days after the SIP application form was submitted.
Minimum Investment, Period, Other Details
The minimum investment amount can be different in different asset management companies and can be as low as Rs 300 per day. The minimum Daily SIP period is 1 month.
A Daily SIP can be registered online as well as offline.
The process is similar to that of other SIP registrations. Investors are required to fill out the SIP registration form along with the NACH form and submit it at the respective Mutual Fund office or to any Official Point of Acceptance or to the registrar CAMS/Karvy.
Investors will need to submit the Scheme Application form along with the SIP registration form. Meanwhile, first-time investors will need to submit their PAN card and Aadhaar Card along with the CKYC form while registering Daily SIP.