BENEFITS OF INVESTING IN EQUITY SIPs

BENEFITS OF INVESTING IN EQUITY SIPs

 Dear Readers,

There is often confusion amongst Investors where to invest for good monetary gains – whether in Mutual Funds or in Stock Markets. For those, who cannot monitor their investment, often choose Mutual Funds as their mode of investment as that’s the best way to reward them.

However, for those investors, who have time, inclination as well as passion for direct investment in stocks often burn their fingers by making investment in wrong Stocks, or try to wrongly time the markets.

To avoid such problems, investment in Equity SIP is the best way out.

Let us understand some ultimate stock performers of last two or more decades:

If you see the above table, these are not only well known stocks but are also highly liquid, widely researched & are surely safe zone Investment for Long Term.

However, there are many investors who might feel that these are pure exceptions and it is not possible to recreate the wealth. But this is not true, because in every decade there are growing companies which create wealth for investors.

Let us have a look at Value Creators since 2000’s.

Similarly, in the last decade too, there have been good value creators which are reflected in following table:

It is difficult to spot a Multi bagger. However even if one spots one, it is difficult to enter & exit from a Multibagger at the right time, since after entering, the temptation to sell is very hard to resist when the market rises!

So, the best solution to create Wealth in Equity is to identify 3 – 4 good Companies (if not more) and do a monthly SIP into them.

Let us say, if 5 years back, an investor would have invested in three companies equally, say a SIP value of Rs.10,000 p.m., following would have been the results:

Thus we can see if one had done Equity SIP in above  stocks, this would have led to good wealth creation, that too without taking the risks of timing the markets, not taking the risk of investing high amount at a time and one can start with amount as low as Rs.500 per month.

We strongly believe that young investors should take this opportunity and start investing at an early age.

We at RichVik, provide a platform for those who wish to invest into stocks, but are not very comfortable with the quantum of risk that equity markets entail. SIP is one of the best methods to de-risk your investments. Over the last decade, investments in SIPs have multiplied by more than five times.

Through this article, we wish to share the benefits of such a lucrative investment with our clients & also provide a platform for them to invest in such investment opportunities.

To know more about Equity SIPs, please feel free to contact us at RichVik:

Our Contact details are:

Phone: 022-25674106 / 022-25644106

Email ID: team@richvikwealth.in

 

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