A Systematic Investment Plan (SIP) is a disciplined way to invest in mutual funds, allowing individuals to contribute a fixed amount at regular intervals. One of the key benefits of SIP is rupee cost averaging, which helps reduce the impact of market volatility by buying more units when prices are low and fewer when prices are high. Compounding benefits make SIPs an excellent long-term wealth creation tool, as returns generate additional earnings over time. SIPs also provide flexibility, allowing investors to start with small amounts and increase contributions gradually. With automated investments, SIPs ensure consistency and financial discipline. Ideal for both beginners and experienced investors, SIPs are a low-risk way to achieve financial goals while minimizing market uncertainties.