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Thursday, September 26, 2013

Rupee cost averaging (SIP) Vs value cost averaging (VIP)?

Different debates are occurring on different platforms on the stand to be taken in these unstable times and test of patience. Some mutual fund companies have started to suggest the average value.  But what is this concept and it has an advantage over the rupee cost averaging or what we call SIP (systematic Investment Plan) in simple words?


The two, rupee cost on average and an average cost of value are important tools of mutual funds that allow investors to take the best advantage of their money invested in volatile scenario. An is a self-financing mode and is second tactful movement, but can help to sort the dilemma of whether to keep investing when markets play their games. We will see two options in detail.


 

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