Only way to lose SIP money: Redeem in market dips
Source: valueresearchonline.com
- Investors lose money on SIPs only when they redeem during market dips, not from investing itself.
- A 10-year SIP in Nifty 50 returned 14.8% annually despite big crashes like 2008.
- Stopping SIPs in crashes and restarting later cuts returns by half or more.
The article explains that the only way to lose money on a Systematic Investment Plan (SIP) - where you invest a fixed amount regularly - is by pulling out during market falls. It uses real data from Nifty 50 index funds over 25 years to show SIPs always recover and grow if you stay invested. This matters to readers because many panic-sell in downturns, turning paper losses into real ones, while patient investors win big.