Of Market Swings And Drawing Up Investment Blueprint

One can always apply for a temporary stoppage of SIP when the markets scale highs. They can avail of SIP-stoppages for two-three months at one go if investible surplus dwindles due to unavoidable circumstances. Many mutual funds offer the temporary stoppage option. It is always prudent to look at the fine prints before investing to know if stoppages are allowed and for how long. “They (the investors) should make it a point to resume regular investment once financial conditions have improved,” says Aniruddha Chaudhuri, Head of Retail Business at ICICI Prudential Asset Management Company. He, however, warns that one should not invest in SIPs without a goal in mind. Goals can be a child’s higher education, buying homes, marriages, or retirement. Goals give SIPs a purpose and inculcate a sense of responsibility that propel investors to continue their investments. A goal...