7 Common SIP Mistakes That Quietly Cost You Money

Most SIP disappointments come from behaviour, not the fund. Avoid these:

1. Stopping SIPs when markets fall This is the biggest one. A downturn is when your SIP buys the most units cheaply — exactly what powers future returns. Pausing then locks in the loss.

2. Chasing last year's topper The #1 fund of last year is rarely #1 next year. Judge consistency, not a single hot year.

3. Ignoring the expense ratio A 1% higher cost compounds into lakhs over decades. Prefer Direct plans.

4. Too many funds Owning 10 overlapping funds isn't diversification — it's duplication. 3–5 well-chosen funds usually suffice. Check overlap in My Desk → Portfolio Analyzer.

5. No goal or horizon Investing without a goal means you'll panic-sell at the first dip. Set the goal first — the wizard helps.

6. Not stepping up Keeping the same SIP for 10 years ignores your rising income. Increase it ~10% a year.

7. Reacting to news Daily market noise is not a reason to change a long-term plan. Automate the SIP and check in quarterly, not daily.

Fix them: start with the discovery wizard and a realistic SIP plan.