Which is the best SIP in India, in which I can invest for the next 10 years?

I want to start with a monthly premium of Rs.5000. It should also have tax benefits.

5 Replies to “Which is the best SIP in India, in which I can invest for the next 10 years?”

  1. Don’t invest just for the sake of getting tax benefits.

    Invest according to your GOAL and see what TAX benefits are available to you.

    This is more better way to look at the problem then the other way round.

    By getting Term insurance you will get more insurance for less but will not provide you with any returns.

    This is what the term insurance means.

    For financial planning use this formula:
    Term Cover + FD + Post Office + PPF + Shares + Mutual Fund

    Start Early. Save Early. Retire Safely. This is my InvestingMantra.

    Some Mutual Fund schemes you can look at:
    SBI Magnum Contra
    Reliance Growth
    Sundaram BNP Paribas Select Midcap
    HDFC Top 200
    KOtak 30
    DSP Merillynch Top 100
    SBI Magnum Multiplier PLus
    Franklin Prima

    I hope this will help you

    Your are on the right path.


  2. A mutual fund SIP has to be initiated with a pre-fixed amount, time frame & frequency. Currently there is no option to increase or decrease the amount once the SIP has started. This is because an SIP is normally done through either an ECS or post paid cheques. However, you can stop the SIP (within a months notice) and then restart another SIP in the same scheme if required with the fresh amount. As far as suggesting a best SIP, such decisions cannot be made in a vacuum. We can let you know that Equity investments are generally best for a SIP, but we need to understand your current situation before giving a recommendation, eg your current portfolio, financial goals, the amount of savings required, the time horizon for your investment, and your risk taking capacity.

    A SIP is an excellent strategy. Some diversified equity funds to look at (for investing with a tenure of 3-5 years) are DSP BR Top 100 Fund, Sundaram Select Midcap Fund, HDFC Top 200 Fund, DSP BR Equity Fund and Benchmark S&P CNX 500 Fund. However, your allocation to them would depend on your risk appetite as this represents a basket of large cap, midcap and multicap funds.

    From Tax saving perspective for FY 09-10, the mutual funds you can look at are ELSS schemes. In this category, Fidelity Tax Advantage and Sundaram BNP Paribas Taxsaver have been consistently good performers. Read the article on Best Tax Saving Mutual Funds for more on this

  3. Arun,
    First of all congrats for thinking about investing in SIP Mode and that also for long term. Its really a great decision.
    I would recommend you to go for ULIPs which give not only stock-market investment but also insurance and tax benefits.
    In ULIPs also, I would recommend you to go for LIC-ULIS or UTI-ULIP.
    WHY? Because both these plans offer guaranteed minimum 5% maturity bonus, which none other ULIPs offer.
    Check the following links for details



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