1. Never, as the process of SIP is based on the concept of rupee-cost averaging.
2. It is a process under which an investor would buy more of a particular product when prices are low and buy less of the same product when prices are higher.
3. Therefore, in effect, what this process does is average out the cost of buying a product over a long period of time.
4. Since usually the same quantity of a product is bought over several months, the volatility in the prices of the product is also neutralized to a great extent.
5. Hence, if you stop your SIPs when the market is falling, you lose the chance to buy more in your SIP.
6. In other words, you would forego the chance to accumulate more fund units when their NAVs are falling.
7. On the other hand, if you continue your SIP in a weakening market, it could even turn out to be a blessing in disguise in the long run.
2. It is a process under which an investor would buy more of a particular product when prices are low and buy less of the same product when prices are higher.
3. Therefore, in effect, what this process does is average out the cost of buying a product over a long period of time.
4. Since usually the same quantity of a product is bought over several months, the volatility in the prices of the product is also neutralized to a great extent.
5. Hence, if you stop your SIPs when the market is falling, you lose the chance to buy more in your SIP.
6. In other words, you would forego the chance to accumulate more fund units when their NAVs are falling.
7. On the other hand, if you continue your SIP in a weakening market, it could even turn out to be a blessing in disguise in the long run.