Curious about LIC mutual fund's daily SIP options? Here's what you need to know!
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LIC Mutual Fund has launched revised minimum amounts and installment numbers for its Systematic Investment Plans (SIPs), effective from October 16, 2024. This update includes the introduction of daily SIPs at a minimum amount of ₹100, requiring a minimum of 60 installments. Monthly SIPs have also been adjusted to a minimum of ₹200, with at least 30 installments necessary.
These changes apply to all existing mutual fund schemes that offer SIPs, with the exception of LIC MF ELSS Tax Saver and LIC MF ULIP. For quarterly SIPs, the minimum amount is now set at ₹1,000, requiring at least six installments. Daily SIPs can be made on all business days, while monthly and quarterly SIPs can be scheduled for any date between the 1st and 28th of the month.
This move is significant in light of SEBI chairperson Madhabi Puri Buch’s initiative to develop micro SIPs with a minimum contribution of ₹250 per month. Preeti Zende, a SEBI-registered investment advisor and founder of Apna Dhan Financial Services, commented on the benefits of these smaller SIPs, highlighting their accessibility for low-income earners, new earners, and those receiving small stipends or pocket money.
Additionally, the minimum amount and installments for the quarterly frequency SIP under the ELSS Tax Saver Scheme have also been revised. Investors can now start with a minimum of ₹1,000 and in multiples of ₹500 thereafter, with a minimum of six installments. Changes have also been made to the Step-up facility, allowing increments starting from ₹100 and in multiples of Re 1.
These adjustments are designed to make SIPs more accessible to a broader range of investors, facilitating greater participation in equity mutual funds and promoting disciplined investment habits.
