Buying the dip vs SIP: Which strategy delivers better returns? Here's what math says
New Delhi, July 1 -- Sharp market swings often encourage investors to wait for the 'perfect' buying opportunity. For example, the market correction during the COVID-19 crash in 2020 rewarded investors who had the liquidity to buy when markets had nearly halved. As markets rebounded rapidly, those investments generated outsized returns. But is market timing really the smartest strategy?
Speaking on the topic, Abhishek Kumar, SEBI-registered Investment Adviser (RIA) and Founder of SahajMoney, says, "Historical research shows that buying the dip reliably underperforms a systematic investment plan. This is because markets structurally rise more often than they fall, keeping cash on the sidelines waiting for a market decline creates an opport...
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