Starting SIP at 38: 12-Year Investment Plan for Financial Goals

• At 38, many become more aware of their financial future, necessitating a proper investment plan for goals like children's education or retirement.
• Before starting a SIP, clearly define your investment goal (retirement, education, house) to determine the amount and fund selection.
• A 12-year SIP (until age 50) is a medium to long-term investment; a diversified portfolio is recommended, balancing equity, hybrid, and debt funds.
• Monthly SIP of Rs 10,000 over 12 years could yield Rs 23-26 lakh at 10-12% average return; Step-Up SIPs (5-10% annual increase) can significantly boost returns.
• Manage risk by reviewing your portfolio annually, avoiding stopping SIPs during market downturns, and gradually shifting from equity to debt as the goal approaches.

Why It Matters: Starting a 12-year SIP at 38 is effective with clear goals, diversified funds, and consistent investment.