Systematic Investment Plans (SIPs) are popular for mutual funds, but did you know you can apply the same idea to shares too? It’s called Systematic Investment in Shares, or simply SIP in Shares—a method where you invest a fixed amount regularly in stocks from the secondary market.
This concept helps reduce emotional investing, smooths out price ups and downs over time, and builds wealth slowly but steadily—without putting stress on your wallet.
To start SIP in Shares, decide how much you can invest monthly. Choose shares you believe in, and buy at least 10 units each month. Plan for a long-term goal—5 years is a good start. Set a fixed date to buy, say from the 1st to 7th of every month, and invest during that time at the current market price.
Systematic Investment Plans
For example, if you decide to invest NPR 10,000 every month in Nepal Life Insurance Company (NLIC) starting from Baisakh 2082, and keep doing this until 2087, you’ll end up with a sizable number of NLIC shares while naturally averaging the price.
This approach doesn’t follow strict rules. You just need a plan—how much to invest, how long to continue, and when to buy—and stick to it. Over time, you benefit from compounding returns and consistent share accumulation.
