In the context of India, where money in savings accounts gets 4% interest (tax free for me) per annum, and SIP frequency doesnt affect my transaction costs in any way
I'm trying to understand, which is a better way to structure a SIP, assuming I have INR 30,000 to invest every month, and I get the money on the last day of the month, there are 2 extremes:
- I Invest all the money on the 1st of the month
- I Spread out the investment at Rs 1000 per day over the month
And everything in between, such as once every 15 days
(A SIP is a method to invest a fixed amount of money in a specific mutual fund on a specified frequency automatically)