• Historical Returns: Examine annual returns over 1, 3, 5, and 10 years for consistency and performance trends.
• Benchmark Comparison: Compare fund performance to its benchmark index to gauge relative success.
• Risk-Adjusted Returns: Use Sharpe and Sortino Ratios to assess returns relative to the risk taken.
• Expense Ratio: Evaluate annual fees as a percentage of assets; lower ratios often mean better net returns.
• Fund Manager's Track Record: Check the manager’s experience and consistency across different market cycles.

Investing money can often feel like navigating a maze, especially for those who are new to it. With numerous investment strategies available, deciding the best approach can be daunting. Two popular methods of investing are the Systematic Investment Plan (SIP) and Lump Sum Investment. Each method has its own set of advantages and disadvantages. Understanding these can help investors make informed decisions that align with their financial goals and risk tolerance.

• Risk Reduction: Spread investments to limit the impact of any single asset's downturn.
• Smoother Returns: Stabilizes returns by balancing different sectors and asset classes.
• Higher Returns Potential: Increases chances of growth through diverse sectors and regions.
• Asset Variety: Includes stocks, bonds, cash equivalents for broader diversification.
• Regular Rebalancing: Adjust investments to maintain target allocation and optimal diversification.