n NISM Certifications
NSM General NISM
Medium

What is one of the key benefits of a Systematic Investment Plan (SIP)?

Practice question from Investor Services Test — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    It allows investors to time the market and buy low

  2. It helps in rupee cost averaging by investing a fixed amount regularly.

    Correct answer

  3. C

    It guarantees a fixed return on investment.

  4. D

    It is only available for equity schemes

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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