While investing in mutual funds, investors get the opportunity to earn more through the power of compounding over a period of time, as compared to other investment options such as fixed deposits or recurring deposits. The investment can be either through SIP or lumpsum.
A report from the Association of Mutual Funds in India (AMFI) states that currently Indian mutual funds have about 2.89 crore SIP accounts through which investors regularly invest in MF schemes, and on an average, 9.35 lakh SIP accounts have been added each month during the FY 2019-20, with an average SIP size of about Rs 2,850 per SIP account.
