Factors to Consider Before Starting an SIP

1. Risk Appetite:
   • Understand your ability to tolerate market fluctuations.
2. Investment Horizon:
   • Align your SIP tenure with your financial goals. Longer horizons typically yield better returns due to compounding.
3. Fund Performance:
   • Research the past performance, expense ratio, and portfolio allocation of the mutual fund.Keep in mind that past performance never will be the guarente for future returns .
4. Tax Implications:
   • Be aware of the tax treatment + exit load for gains, especially for equity and debt funds.
5. Inflation Impact:
   • Consider inflation’s effect on your returns and adjust your SIP contributions periodically.