SIP returns uncovered: When to start your mutual fund's SIP to get maximum gains?
WhiteOak Capital Mutual Fund's report scrutinises SIP timing, frequency, and category to optimise returns. Data shows no significant difference in long-term SIP returns across different investment dates.
- Sep 17, 2025,
- Updated Sep 17, 2025 5:13 PM IST
Systematic investment plans (SIPs) are a preferred route for Indian investors to enter the equity market, but questions about the best date, frequency, and segment for maximum returns persist. WhiteOak Capital Mutual Fund’s recent SIP Analysis Report, using over 28 years of market data, addresses these issues, concluding that timing the market by SIP date or frequency provides a negligible advantage in the long run. The report emphasises starting early, maintaining consistent contributions, and selecting the right investment horizon and category.
Data from the Association of Mutual Funds in India (AMFI) shows SIP assets under management (AUM) reached Rs 15,18,368 crore in August 2025, with monthly contributions of Rs 28,265 crore, reflecting sustained retail interest despite market volatility.
The analysis explores whether choosing a particular date in the month for SIP investments leads to higher returns. After assessing index data from August 1996 to August 2025, the report finds no meaningful difference in average annualised returns for SIPs started on different dates, provided the investment horizon is sufficiently long.
In light of this, the report offers a practical recommendation: the best SIP date is when the investor usually gets their salary credited to their bank account. This approach helps maintain regular contributions, reinforcing the importance of discipline over date selection.
The report also evaluates whether daily, weekly, or monthly SIP frequencies impact long-term returns. It notes that in the long term, all three frequencies end up generating similar returns. The extended internal rate of return (XIRR) for daily and weekly investments is 14.20 per cent, and 14.19 per cent for monthly, over the analysis period.
On SIP frequency, the report emphasises consistency and investment horizon over frequency selection. Starting an SIP early and running it for the long term is more important than the frequency one opts for, supporting the view that investor discipline and a long-term approach are key to maximising equity returns.
When comparing equity market segments, the report highlights mid-cap funds as the leading choice for long-term SIP investors. The average return for the Nifty Midcap 150 TRI stands at 17.40 per cent, outpacing large-cap (Nifty 100) at 13 per cent and small-cap (Nifty Smallcap 250) at 14.70 per cent.
The report also analyses the impact of investment horizon on return volatility. After comparing returns on SIPs over periods between 3 and 15 years, it notes that although equities can be volatile, the volatility reduces as investors increase their investment horizon. Longer horizons offer improved potential for risk-adjusted returns, underlining the merit of patience in equity investing.
Summarising its findings, the report reiterates the significance of investor behaviour over market timing: a successful SIP is more about starting early, maintaining the discipline of investing regularly, and investing for the long term to achieve financial goals, rather than focusing on date, frequency, or market cycle stage.
Systematic investment plans (SIPs) are a preferred route for Indian investors to enter the equity market, but questions about the best date, frequency, and segment for maximum returns persist. WhiteOak Capital Mutual Fund’s recent SIP Analysis Report, using over 28 years of market data, addresses these issues, concluding that timing the market by SIP date or frequency provides a negligible advantage in the long run. The report emphasises starting early, maintaining consistent contributions, and selecting the right investment horizon and category.
Data from the Association of Mutual Funds in India (AMFI) shows SIP assets under management (AUM) reached Rs 15,18,368 crore in August 2025, with monthly contributions of Rs 28,265 crore, reflecting sustained retail interest despite market volatility.
The analysis explores whether choosing a particular date in the month for SIP investments leads to higher returns. After assessing index data from August 1996 to August 2025, the report finds no meaningful difference in average annualised returns for SIPs started on different dates, provided the investment horizon is sufficiently long.
In light of this, the report offers a practical recommendation: the best SIP date is when the investor usually gets their salary credited to their bank account. This approach helps maintain regular contributions, reinforcing the importance of discipline over date selection.
The report also evaluates whether daily, weekly, or monthly SIP frequencies impact long-term returns. It notes that in the long term, all three frequencies end up generating similar returns. The extended internal rate of return (XIRR) for daily and weekly investments is 14.20 per cent, and 14.19 per cent for monthly, over the analysis period.
On SIP frequency, the report emphasises consistency and investment horizon over frequency selection. Starting an SIP early and running it for the long term is more important than the frequency one opts for, supporting the view that investor discipline and a long-term approach are key to maximising equity returns.
When comparing equity market segments, the report highlights mid-cap funds as the leading choice for long-term SIP investors. The average return for the Nifty Midcap 150 TRI stands at 17.40 per cent, outpacing large-cap (Nifty 100) at 13 per cent and small-cap (Nifty Smallcap 250) at 14.70 per cent.
The report also analyses the impact of investment horizon on return volatility. After comparing returns on SIPs over periods between 3 and 15 years, it notes that although equities can be volatile, the volatility reduces as investors increase their investment horizon. Longer horizons offer improved potential for risk-adjusted returns, underlining the merit of patience in equity investing.
Summarising its findings, the report reiterates the significance of investor behaviour over market timing: a successful SIP is more about starting early, maintaining the discipline of investing regularly, and investing for the long term to achieve financial goals, rather than focusing on date, frequency, or market cycle stage.