SIP vs Mutual Fund – What’s the Difference

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SIP vs Mutual Fund – What’s the Difference



What is a Mutual Fund🎯

A Mutual Fund is an investment product where money from many investors is pooled together and invested in stocks, bonds, or other assets by a professional fund manager.

 It is what you invest in.

Example: HDFC Equity Fund, SBI Bluechip Fund  these are mutual funds.

What is SIP (Systematic Investment Plan)🎯

A SIP is a way of investing in a mutual fund.
It means investing a fixed amount regularly (like ₹500 or ₹1000 every month) instead of investing a large amount at once.

 It is how you invest in a mutual fund.

Example: You invest ₹1000 every month into the HDFC Equity Fund — this method is called SIP.


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