n NISM Certifications
XXI NISM Series XXI-A
Medium

Which of the following is NOT a benefit of 'Systematic Investment Plan' (SIP)?

Practice question from NISM XXI A for PMS - Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Rupee cost averaging

  2. B

    Discipline in investing regularly

  3. Lump-sum investment only

    Correct answer

  4. D

    Power of compounding over time

Why this is the answer

SIPs involve regular, disciplined investments, not lump-sum; they leverage rupee cost averaging and compounding benefits.

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