SIP on Coin different than a conventional SIP

Zerodha Coin - Direct MF
1

Hi,

I would like to know in terms of profit/loss how SIP on Coin different than a conventional SIP.
Lot of people is thinking its different hence not buying in zerodha. But people like me has already invested and i want to know the difference in short mathmetical form how it differs. Any difference in profit/loss compared to conventions or difference in return interest rate. Also what are the pros and cons of these 2.

Thanks in advance

2

There is absolutely no difference

3

hi…
I just wanted to start mf on coin.
i want to make it clear that - so when i do SIPs, will they be treated as SIP only or as lumpsum ? in any manner like - exit/effect by market/returns etc ?

4

We send each SIP as a fresh lumpsump because it allows you to have the flexibility of pausing, resuming the SIPs whenever you want without any paperwork, instantly. But, as an investor it makes absolutely no difference to you.

5

When you purchase MF via coin you are cutting the middleman and is directly buying it from the Fund house. You are investing in direct fund which has lower expense ratios and therefore if you have picked a good fund then your return will be slightly higher compared to the the regular plan where a distributor is involved and MF pays certain % as fee to them. There are many sites which provide direct fund purchasing facility and Coin is one of them. If you can pick funds by yourself then I don’t think there is any need to purchase it through a distributor. Selecting MF is easy compared to picking stocks. I usually refer Valueresearchonline and Morningstarindia for fund ratings and usually invest in top rated funds which has decent 5 and 10 year track record. I don’t invest based on 1 year return.

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