07/04/2026
Benefit of investing through SIP (Systematic Investment Plan) when markets are down.
In the example, ₹10,000 is invested every month.
- *Month 1*: NAV (Net Asset Value) is ₹100, so 100 units are purchased.
- *Month 2 (Market Dip)*: NAV drops to ₹80, so ₹10,000 buys 125 units (more units at a lower price).
- *Month 3*: NAV rises to ₹110, so 90 units are purchased.
*Effect*:
- Average cost becomes ≈ ₹95.2.
- Current NAV is ₹100, which is higher than the average cost.
*Conclusion*: SIP lets you buy more units when the market dips, lowering your average cost and putting you in profit. 📈💰
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