This website is purely ACADEMIC in nature and NOT a stock market recommendation service or a tip provider. No live data or feeds are provided and all information is historic only. Information is provided for ease of understanding for the purpose of learning. Accuracy of definitions etc is not mantained. I am not a SEBI or IRDA registered.
SIP vs Lumpsum Investments
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In general Systematic Investment Plan work great for most investors. Lumpsum investments work good for expert investors who wish to stay invested for really long terms.
But, buying lumpsum in a bull market may be risky ... Isn't it? As when market goes for correction, value may depreciate. Hence timing this lumpsum is critical.
If you feel you are an expert investor yourself and feel that the market is giving attractive opportunities to invest in, you could go for lumpsum investments. Further, if your investment horizon is for long term, such as, say for 10 yrs, the variations in short term is immaterial.
Further, for long term, in general, staying invested is more important than exiting an investment and re-entering it. Let the fund managers of the schemes determine what is good and do market-timing related decision making.