Top Tips to Follow While Using The Online SIP Calculator

The stream of investment in Indians is ongoing, with more and more investors wanting to invest and grow capital than ever was the scenario previously. It appears that Indians have finally realized the value of an investment with the use of proficient tools and online aids such as the SIP calculator. Using online tools can be a boon for any investor and they are free for use on most platforms of leading AMCs today. What’s more, app use makes it easy to make your investment decisions while you are traveling or on the move. For instance, if you use AMC Glide Invest’s SIP calculator, you can learn how much to invest through the app Glide Invest easily. 

SIP - A Basic Explanation

In order that you to make an informed decision about investing in a SIP, the SIP calculator can help you to take the right steps and invest your money wisely. Investing in a SIP (systematic investment plan) is becoming a popular way to allocate wealth to investment instruments in small amounts and at regular intervals. Rather than defining a SIP as the investment instrument itself, it is more of an investment mode for investors to invest in mutual funds. 

Every investor should aim for portfolio diversification in the long run. This is the only way to mitigate fluctuating markets and gain rewards from investments. A SIP lets you invest small amounts in regular installments in a fund of your choice. The fund, like a mutual fund, may be composed of equity or debt, or a blend of the two. 

Why a SIP Makes Sense

Once you know how a SIP can help you get cracking on your investment journey, there are no excuses to avoid investment. SIPs are good investment plans for small investors, and those just venturing into investment. You can begin to invest in a SIP with an amount that is as low as Rs. 100, based on the fund you pick for your investment. To determine your potential gains on investment in a SIP, you can use a SIP calculator. 

Using a SIP Calculator

In the plainest of terms, a SIP calculator is a systematic investment plan, an online calculator. This is available with the majority of reputed financial portals, banks, AMCs, and brokerages. A SIP calculator helps investors compute SIP returns through mutual fund investment via a SIP. The SIP calculator is in optimal use by many investors today, especially by millennials who have started to take investment seriously, and young investors just beginning to earn salaries. Use a SIP calculator easily with handy tips. Here are some tips that can be really useful while you use an online SIP calculator: 

Top Tips to Follow While Using The Online SIP Calculator

● Research Your Fund - Before you even decide to use a SIP calculator, you should decide on the kind of mutual fund investment you want through a SIP. Although you invest small and fixed amounts of your principal at a time, mutual funds are where your money is allocated. Once you have determined which SIPs to go in for, you may further your decision on which to ultimately invest in with a SIP calculator. 

● Remember the Purpose of the Calculator - The purpose of your SIP calculator is for you to estimate your returns from a SIP investment. As a result, you should be fully aware that the SIP calculator is designed in a way to offer you an estimate of returns. Values and prices are prone to fluctuate. 

● Some Things Cannot Be Gauged - While using a SIP calculator, it's wise to remember that the calculator cannot tell you about exit loads and expense ratios related to your SIP investment. 

● Limited but Useful Information - The way to use a SIP calculator is easy, and most portals have menu-driven methods of use. In an online SIP calculator, you must enter the details of your principal investment, the frequency of installments of investment (usually monthly), and the rate of interest earned. You can also compare funds and the rate of interest of different fund houses, choosing the best one that matches your requirements. 

● Planning SIP Investments - A good rule of thumb is to visit online financial portals (like those of good AMCs) and brokerages at which SIP investments may be offered. For instance, you can invest in a SIP through Glide Invest and use Glide Invest’s SIP calculator to gauge your returns on investment. 

Invest with the Best

Today, investment is not a challenge with the use of technology and online tools like the SIP calculator. You can really know how much to invest to start with, and at any time, if you wish to increase your investment amount, you can use a step-up SIP calculator to find out the increased returns you may potentially get.