How YOU Can Use SIP In Stock Market To Profit Consistently
SIP Investment is not a Technical Analysis concept but it is very closely related to position sizing we cover quite often. I begin this video on SIP In Stock Market by highlighting some of the misconceptions associated with SIP and SIP In Stocks. I have taken up three Stock market cycles (Recovery, Trending & Range bound) and explained how SIP In Stock market works better than committing all Investment amount at once.
As I have explained various Stock Market cycles, I have explained benefit of SIP In Stock Market in terms of Rupee Cost Averaging, Amount of Stocks bought, Drawdowns and Profit for Investments. I have then explain how SIP In Stock Market can help you out perform in Stock Market.
First part I have taken up is of Risk Management and Flexibility. I have explained how one can control risk and be flexible while investing through SIP In Stock Market. Furthermore, in the Second Part, I have explained how SIP gives you the opportunity to Diversify while taking advantage of Volatility. In the last section, I have explained how SIP In Stock Market can help you control your emotions better while harnessing power of compounding for wealth creation.
I have spent considerable amount of time explaining benefit of power of compound interest through SIP Investment. Compounding is the 8th wonder of the world and its contribution towards wealth creation is quite often understated. Towards the end of this video, I have given out 4 Rules for using SIP In Stock Market which I will be covering in Part 2 in detail. These 4 rules will help you how to invest in stock and in particular how to invest in SIP.