When we look back at the last six months , the markets have moved from strength to strength. Experts have started predicting the upward trend for Sensex and Nifty. The same guys were extremely pessimistic six months back is another story.
Those who have been left out have started cribbing and are planning to join the band wagon now!!
On a personal note, I saw many of my friends stop investing last year and many even stopped their SIPs. This period of volatility has practically emphasised two things.
1. Do not try to time the market.
2. Be a regular investor .( what better than SIP in equity funds for regular investment).
By following this you may not get great returns but at least you can ensure that you get around 15-20% p.a ..and that too tax free ( as of now).
When investing in SIP its important to spread across the installments for a good period and stay invested for a longer period ( min 5 years), so that you can achieve this.
This is as easy as filling up a form ( Mutual fund SIP investment form -Equity fund) and do nothing for years.No need to track your stocks day by day, watch the business news channel or read a economic daily for stock tips.
This way you get to own a piece of corporate India and make all those corporates work for you!!!!
Sounds very simple isn't it? But we are used to complicating things in life more than necessary.!!