SIP or Systematic Investment Plan seems to be one of the best way to create wealth and that's what was the general perception was. And it is great because that's the way to create discipline as well as best for people who wants to create wealth in the auto pilot.
But we have multiple strategies which is better than the normal SIP. For example we have a StepUp SIP where the strategy is to increase investment every year based on certain percentage. For example every year your salary increases buy 5% or 10%. STEP UP means you will also increase your investment every year based on the percentage of your salary hike. This strategy helps you to reduce the lifestyle inflation. And also it's a best way to create wealth faster.
Next is the DIP Investment. In this strategy you will invest more when the market goes down. For example, if the market goes down by 5% you will invest more and like that you will continue investing. This is the best way to invest than all the other strategy.
So I have created the calculator where you can simulate your investment to find out that what is thr best way for you to invest in the market. I would say that start with SIP, then go for Step UP SIP and at last you can start with DIP Investing. DIP requires more investment as you need to have the cash in hand to invest when the market goes down.
But that's the fastest way to generate wealth. DIP investing gives you highest XIRR as well it can get to your corpus faster. You cab go through the calculator and see how much you can invest in DIP Investment so that you can also reach to your desired corpus faster.
