SIPs are about psychology, not maths

There are now some six to seven types of SIP available from Indian mutual funds. You can have 'value-based' SIPs; SIPs with different periodicities, which claim better returns; SIPs that split monthly instalments into weekly ones; SIPs which claim different dates give better returns; and SIPs that vary your monthly investments according to even more complex formulae. Suggested read: The illusory SIP That's a lot of choices, and consumer choice is always supposed to be good, right? Well, not quite. I'll put it bluntly. Having lots of choices in SIPs is an unequivocally bad thing. These choices misguide people as to what the real purpose of SIPs is and how they can succeed at SIP investing. Worse, they promote the idea that the way to get better returns lies in some newly discovered trick or feature that is available in some SIPs and not in others