Best SIP Plans for 20 years in India

Investing in Systematic Financial Plans (SIPs) is a popular financial plan for people trying to build wealth over the long run. SIPs offer a disciplined approach to trading and allow buyers to take advantage of rupee cost averaging, thereby reducing the effect of market fluctuations. With a 20-year financial span, SIPs can be a powerful tool for wealth building, provided the right plans are picked. In this piece, we study the ten best SIPs for a 20-year investment term in India in 2024, their success, and factors to consider before spending.

Overview of Best SIP Plans to Invest in 2024

Here is overview of Best SIP for 20 years:

Mirae Asset Emerging Bluechip Fund

Mirae Asset Emerging Bluechip Fund deals with big and mid-cap companies with excellent growth prospects. It has regularly beaten its standard over the long term and is an excellent choice for buyers wanting exposure to the Indian growth story. The fund takes a bottom-up stock selection method and invests in companies with substantial economic benefits, durable business plans, and capable management teams.

Axis Bluechip Fund

A large-cap-oriented fund, Axis Bluechip Fund aims to create long-term capital growth by investing in bluechip companies across different fields. It has a proven track record and is handled by an experienced team of fund managers who follow a structured investment process. The fund tries to find quality companies with solid foundations, lasting economic benefits, and high growth prospects.

Parag Parikh Flexi Cap Fund

Parag Parikh Flexi Cap Fund follows a value-buying approach and invests across market capitalizations. It has a strong focus on quality businesses and has produced excellent results over the long term. The fund's investment strategy is focused on investing in companies with substantial economic benefits, high-quality management, and affordable prices.

ICICI Prudential Bluechip Fund

ICICI Prudential Bluechip Fund A well-diversified large-cap fund, ICICI Prudential Bluechip Fund has regularly beaten its benchmark and is perfect for investors seeking exposure to the top companies in India. The fund aims to gain long-term capital by investing in companies with strong growth prospects, secure business plans, and solid financials.

Kotak Standard Multicap Fund

Kotak Standard Multicap Fund this multi-cap fund invests across market capitalizations and strongly focuses on companies with solid business plans and growth prospects. It is handled by a team of skilled fund managers who follow a bottom-up stock-picking method. The fund tries to find companies with substantial economic benefits, high-quality management, and reasonable prices.

Nippon India Multi Cap Fund

Nippon India Multi Cap Fund as the name suggests, this fund invests across market capitalizations and has a well-diversified portfolio. It has a proven track record of providing steady results over the long run. The fund takes a bottom-up stock selection method and focuses on businesses with solid foundations, lasting growth prospects, and capable management teams.

SBI Bluechip Fund

SBI Bluechip Fund a large-cap fund run by one of India's best asset management companies, SBI Bluechip Fund is a good choice for buyers seeking exposure to the top companies in India. The fund aims to produce long-term capital growth by investing in companies with good foundations, high-quality management, and reasonable prices.

DSP Equity Fund

DSP Equity Fund this fund follows a multi-cap approach and strongly focuses on companies with steady growth possibilities. It has produced excellent results over the long term and is run by a team of experienced fund managers who follow a strict investment process. The fund tries to find companies with substantial economic benefits, high-quality management, and reasonable prices.

Invesco India Growth Opportunities Fund

Invesco India Growth Opportunities Fund invests in companies with excellent growth prospects across market capitalizations. It has a proven track record and is run by a team of experienced fund managers who follow a bottom-up stock-picking method. The fund works on finding businesses with solid economic benefits, high-quality management, and reasonable prices.

HDFC Flexi Cap Fund

HDFC Flexi Cap Fund a well-diversified flexi-cap fund, the HDFC Flexi Cap Fund has regularly beaten its standard and is perfect for investors who want exposure to companies across market capitalizations. The fund uses a bottom-up stock selection method to find companies with solid foundations, lasting growth prospects, and capable management teams.

Performance of 10 Best SIP for 20 Years in India to Invest in 2024

Here is performance list of Best SIP for 20 years:
 

Factors to Consider Before Investing in the Best SIP for 20 Years in India

When engaging in SIPs for a 20-year investment, it is essential to consider several factors to ensure that your investments match your financial goals and risk tolerance. Here are some key things to consider Best SIP for 20 years:

● Investment aim: Understand the fund's investment aim and ensure it fits your financial goals. For instance, if you want want to build long-term wealth, explore funds investing in growth-oriented companies across market capitalizations.
● Risk Profile: Evaluate the fund's risk profile and ensure it matches your risk tolerance. Large-cap funds are usually less dangerous than mid-cap or small-cap funds, while multi-cap funds offer a reasonable risk-return ratio.
● Expense Ratio: The expense ratio is the annual fee charged by the fund for handling your assets. Lower expense ratios can significantly impact your results over the long term, so choosing funds with fair expense ratios is essential.
● Fund Manager and Investment Process: Research the fund manager's experience, investment theory, and investment process. A steady investment process and a seasoned fund manager can add to the fund's long-term success.
● Past Performance: While past performance does not promise future results, it can provide insights into the fund's stability and the fund manager's ability to produce returns across market cycles. However, it should not be the main reason in your decision-making process.
● Investment plan: Ensure your investment plan fits the fund's investment approach. For a 20-year financial plan, it is recommended to consider stock funds with the possibility for long-term growth.
● Diversification: Consider spreading your investments across different asset classes, industries, and market capitalizations to reduce risk and improve long-term profits.

How to invest in Best SIP for 20 years in India?

Investing in Best SIP for 20 years in India is simple. Here are the steps you can follow:
● Open a Demat and Trading Account: To buy in mutual funds, you must open a Demat (Dematerialized) account and a trading account with a bank member or a dealer. This account allows you to hold your mutual fund units in electronic form.
● Complete the KYC Process: You must complete the Know Your Customer (KYC) process by giving the necessary papers, such as name proof, address proof, and pictures, as required by the regulatory authorities.
● Select the Mutual Fund Scheme: Based on your investment goals, risk tolerance, and investment timeline, pick the mutual fund scheme(s) you wish to invest in. You can speak with a financial expert or perform a detailed study to find the best SIPs for a 20-year investing term.
● Decide on the Investment Amount and Frequency: Determine the amount you wish to spend in the SIP and the intervals at which you want to make the investments (monthly, quarterly, or yearly).
● Set up the SIP: Once you have chosen the mutual fund scheme(s), you can set up the SIP through your online trading account or by visiting the mutual fund house's shop or approved dealer. You must provide information such as the fund name, investment amount, investment frequency, and bank account details for the regular debit of the SIP amount.
● Watch and Review: Regularly watch the success of your SIP investments and review your portfolio periodically to ensure that it matches your financial goals and risk tolerance. You can make changes to your SIP purchases as needed.

It is important to note that engaging in SIPs requires discipline and patience, as the power of growth takes time to work its magic. Spending regularly over a long time, such as 20 years, you can build substantial wealth and achieve your financial goals.

Conclusion

Investing in the right SIPs for a 20-year financial plan can be a game-changer for wealth building. The funds described in this piece have a proven track record and are handled by skilled fund managers. However, it is essential to conduct detailed research, speak with a financial expert, and regularly review and adjust your portfolio to ensure that your investments match your financial goals and risk tolerance.
Factors such as investment goal, risk profile, cost ratio, fund manager's experience, and past results should be carefully examined before participating in any SIP. Diversity across asset classes, industries, and market capitalizations can also help reduce risk and improve long-term profits.
By strictly investing in SIPs and practising patience, investors can build substantial wealth over the long run and achieve their financial goals. It is important to remember that buying in mutual funds brings risks, and past success is not a promise of future results.