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Systematic investment planning

       Systematic investments are considered as an effective way to overcome the price fluctuations in multiple assets.It is a disciplined approach of regular investing to reach the financial goals.It helps us to get the benefits from the market volatility by rupee cost averaging and effect of compounding.

      Systematic investment plans are offered by leading asset management companies.You can invest systematically in stocks,metals and managed funds.It is like a monthly recurring deposit in a bank.It helps you to start a forced savings which prevent you from impulse buying and unnecessary expenditure. One need not evaluate the market trend in this method.Systematic investor channelize savings each month for a long period and feel the advantage of averaging.



     Longer the time frame,larger the benefits of systematic investing.If you invest at younger age,systematic investment plans will yield a decent return in ten or fifteen years.A systematic investor should select right stocks,metals  or managed funds.He should invest in a well managed portfolio.Time horizon is also important.

     Do not cancel the systematic investment in bearish cycles of market. because,the opportunity lies in staying invested and getting maximum units in these period.Check the systematic investing in assets over the last fifteen to twenty years.It has yielded more than fifteen percentage compounded returns for the top performing funds.

Comments

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  2. From the definition above, there are two key features of an investment. Every possession, belonging or property (of yours) must satisfy both conditions before it can qualify to become (or be called) an investment. guarantor loans

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