SIP Magic: When Does Your Investment Start Yielding Real Profits?

• Systematic Investment Plan (SIP) is a disciplined way to build wealth, investing small amounts monthly.
• FundsIndia's study on Nifty 50 data over 25 years reveals SIP benefits depend on 'patience' over 'market movements'.
• Initial 1-3 years are volatile, with potential losses up to -65% due to insufficient recovery time from market downturns.
• After 5-7 years, the possibility of losses is almost eliminated as market fluctuations balance out and compounding takes effect.
• The 'golden period' for SIPs is after 7 years, where negative returns are negligible and most investors see double-digit annual returns.