How to Start Your First SIP

What a SIP Actually Is

A Systematic Investment Plan is simply an instruction to your mutual fund to auto-debit a fixed amount from your bank account every month and buy units of a fund on your behalf. There is no manual transfer to remember, no market-timing decision to make — the same amount goes in every month, regardless of whether markets are up or down.

Your plan already tells you the monthly amount for each goal. Starting a SIP just means turning that number into a standing instruction.

Direct Funds, Not Regular

Always choose the Direct plan of a fund, never Regular. Direct plans skip the distributor commission, which typically means 0.5–1% higher returns every single year — compounded over 15–20 years, that difference alone can be worth lakhs.

Setting Up Your First SIP

1. 1.Complete your KYC — One-time, done online via any AMC or platform (Aadhaar + PAN + a selfie video) — usually approved within 24–48 hours.
2. 2.Pick a platform — A direct-fund platform (Coin by Zerodha, Kuvera, Groww direct plans) or go straight to the AMC’s own website — both work equally well.
3. 3.Search for the exact fund named in your plan — Match the fund name exactly — many AMCs run near-identical-sounding funds with very different mandates.
4. 4.Set the SIP date and amount — Pick a date just after your salary usually lands, and enter the monthly amount from your plan.
5. 5.Set up autopay (e-mandate) — Authorise auto-debit once via net banking or UPI — after this, the SIP runs itself with no monthly action needed.