How to Start a SIP in India: Step-by-Step Guide
A Systematic Investment Plan (SIP) lets you invest a fixed amount — as little as ₹500/month — into a mutual fund at regular intervals, automatically. Over 10 crore SIP accounts are active in India as of 2025, with monthly SIP inflows crossing ₹26,000 crore. Completing a one-time KYC using your PAN and Aadhaar is the only prerequisite before you can invest on any SEBI-registered platform.
Frequently asked questions
Quick answer
What documents do I need to start a SIP in India?
You need a PAN card and Aadhaar number to complete KYC, which is a one-time process. Once KYC is verified through a SEBI-registered KRA (like CAMS or CVL), you can invest with any mutual fund house or platform without repeating it.
What documents do I need to start a SIP in India?
You need a PAN card and Aadhaar number to complete KYC, which is a one-time process. Once KYC is verified through a SEBI-registered KRA (like CAMS or CVL), you can invest with any mutual fund house or platform without repeating it.
Which app is best to start a SIP in India?
Popular direct-plan platforms include Groww, Zerodha Coin, Paytm Money, and MF Central. Direct plans have no distributor commission, so their expense ratios are 0.5–1% lower than regular plans — this compounds significantly over time.
Can I start a SIP with ₹500 per month?
Yes, most large mutual fund houses allow SIPs starting at ₹500/month, and some index funds accept ₹100/month. Even ₹500/month invested for 20 years at 12% CAGR grows to approximately ₹4.99 lakh.
How long does it take to activate a SIP?
After completing online KYC (15–30 minutes), your SIP mandate registration takes 1–2 business days for e-mandate via net banking. Your first SIP instalment is debited on the date you choose, starting the following month.