2016-17 saw Rs 44,000 cr come through SIPs

Retail investors have taken a liking to systematic investment plans (SIPs), used for deploying money in mutual funds (MFs) periodically as opposed to dumping a lump sum in them. The financial year 2016-17 saw nearly Rs 44,000 crore coming through SIPs. 

Until recently, MFs boasted 13.5 million SIPs. The average monthly investment coming through SIPs is Rs 3,660 crore. 

A big draw for investors is they can invest as little as Rs 500 a month through SIP. Under the plan, an investor can instruct the MF to pull out money from the bank account every month. 

Because SIPs impose discipline on investors, by