SIP vs Mutual Fund: What’s the Difference and Which Is Better for You?
SIP vs Mutual Fund: What’s the Real Difference? A lot of beginners get confused when they hear the terms SIP and Mutual Fund . Some think both mean the same thing, and some think SIP is a type of mutual fund. The confusion is pretty normal because these words often come together. But once you understand the difference, investing becomes a lot simpler. Let’s break it down the easy way. Also pay attention to: 7 Principles of Insurance and What is Special Investment Region What Is a Mutual Fund? A mutual fund is basically a basket where money from many people is collected and then invested in different places like shares, bonds, and other financial assets. A trained fund manager decides where this money should go. So, if you don’t know how to pick stocks or don’t have time to track markets, mutual funds do that job for you. In short: Mutual fund = the actual investment You choose which type you want: equity, debt, hybrid, etc. That’s all it is — a...