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Should You Invest in SIPs when the Market Is Rising?

As a new investor if you wish to invest in mutual funds or make new investments to achieve your financial goals, then you would have wondered if this was the right time to invest in SIPs…

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As a new investor if you wish to invest in mutual funds or make new investments to achieve your financial goals, then you would have wondered if this was the right time to invest in SIPs.

Investors generally believe that if they invest in rising markets, they will earn lower returns because further growth may be limited.

The meaning of SIP in mutual fund is that you invest a certain amount at regular intervals on a weekly, monthly, quarterly or bi-annual basis.

Any time is a good time to start investing through an SIP in mutual fund meaning as long as you invest regularly despite the market conditions. Timing the market can be a meaningless activity as it is challenging to predict market behaviour.

Investing via SIP in mutual fund means timing the market becomes futile and you can focus on ‘time in the market’. When you invest in SIP meaning investment, you acquire more mutual fund units when prices are low so when the market rises, it results in higher returns. When prices are high you acquire fewer mutual units when prices are high. This lowers your average investment cost over a period. However, one should note that investing in SIP are subject to market risk and do not assure a profit or returns or protection against a loss in a downturn market.

It is important to consider the following factors to get the best out of your investment:

1) Select worthy schemes

Different mutual fund schemes have different investment strategies, objectives, risk profile, etc. Select schemes that meet your financial goals, risk profile, and investment objective. Also consider qualitative parameters like the efficiency of the mutual fund house’ systems and processes, the fund management team, and portfolio characteristics. Once you have determined your requirements, select the mutual fund scheme by examining risk-reward parameters. Do not be fixated on the fund’s past performers because past performance is no indicator of future returns.

2) Invest the right amount

Though the mutual fund scheme is good, you could fall short of reaching your goal, if you do not invest a sufficient amount. The amount to be invested regularly will depend on your desired corpus as well as the investment goal. Use an SIP calculator to calculate returns to be earned on the investment amount meant to receive from SIPs. You should adjust the investment amount for inflation.

3) Ignore the market noise

Erratic market conditions can make investors nervous about investing further. You may decide to stop or redeem your SIP investment whenever the market turns volatile. However, you can partake of the benefits of SIP investment meaningfully only if you invest regularly despite the market conditions.

If you stop SIP or miss instalments, you might forgo the advantage of compounding and thus miss your investment target. Therefore, it is important to continue investing till you meet your goal.

To conclude

Keep in mind that equity investments take time to grow. In case of SIP, give each instalment sufficient time to grow and generate long term risk adjusted returns. As you start approaching your goal, gradually reduce your equity exposure to invest in a more stable and less risky investment avenue, such as debt mutual funds and bank deposits.

Disclaimer: The views expressed here in this Article / Video are for general information and reading purpose only and do not constitute any guidelines and recommendations on any course of action to be followed by the reader. Quantum AMC / Quantum Mutual Fund is not guaranteeing / offering / communicating any indicative yield on investments made in the scheme(s). The views are not meant to serve as a professional guide / investment advice / intended to be an offer or solicitation for the purchase or sale of any financial product or instrument or mutual fund units for the reader. The Article / Video has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. Whilst no action has been solicited based upon the information provided herein, due care has been taken to ensure that the facts are accurate and views given are fair and reasonable as on date. Readers of the Article / Video should rely on information/data arising out of their own investigations and advised to seek independent professional advice and arrive at an informed decision before making any investments. None of the Quantum Advisors, Quantum AMC, Quantum Trustee or Quantum Mutual Fund, their Affiliates or Representative shall be liable for any direct, indirect, special, incidental, consequential, punitive or exemplary losses or damages including lost profits arising in any way on account of any action taken basis the data / information / views provided in the Article / video.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

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What is a merchant services cash discount program?

A merchant discount rate refers to the rate charged for payment processing services to a merchant on the credit and debit card transactions. The merchant is expected to set up this service and to agree to pay the rate while accepting the payments through credit and debit cards.

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Credit card processing is slowly becoming expensive for merchants. It is the reason they are looking for avenues to reduce the expense. One such avenue is the cash discount merchant services. It offers incentives to customers to pay by check or cash, and allows business owners to offset the payment processing costs.

Cash discount program
Businesses use a cash discount program and offer discount to customers paying by check or cash, instead of paying using a debit or credit card.

Merchants incentivize by offering discount for the cash payments done to the customers and include a service fee. The cash payments are a way to offset the processing charges of the payment coming with card transactions.

How does it work for the merchant?

The merchant services cash discount program offers various benefits to the merchant such as:

Reduced fees- It is the obvious benefit that merchants get on adopting cash discount program. Their processing fees on cards get eliminated or reduced. Deciding not to process the cards implies avoiding paying for the services.
Reduction in chargebacks- With the card payments frequency reduction, the chargebacks also reduce. People or merchants can opt for the cash discount program, if they are struggling with high chargebacks number. Opting for the program of cash discount is a way or reducing the risk of continuing with the current rate.
Increase in cash payments- Customers commonly prefer using cards, but providing the customers a discount will certainly bring more cash payments. It also means faster access to funds as processing times for the merchant gets eliminated. The decrease in card payments reduces drastically the likelihood of fraud and cash is favored.
Increase purchases- The customers and merchants have alike benefits that it is best to consider adopting the cash discount program. It is good and may suit most businesses to see increase in purchases.
There are few enticing tricks of marketing than offering sales discounts on the prices marked. Customers also love saving money and when they get to save through cash discount, they appreciate it. Even if the saving is a small amount, it is enough for people to use this facility and there is the possibility of increasing additional purchases.

The popularity of the cash discount programs has given birth to different questions. For instance, the question regarding the legality of the credit card processing cash discount program has begun. Are there any states that prohibit credit card processing? Let us understand the credit card processing hereunder:

a. What is Credit Card Processing Cash Discount Program?
A cash discount is a benefit that is offered by a seller to a purchaser in exchange for making a payment before the due date. A cash discount is when the seller reduces the amount owed by the purchaser by a modest percent or a specific monetary amount.

Following we have explained in detail regarding the credit card processing:

Customers are rewarded with cash savings if they pay their bills within a particular time range.
A cash discount allows a seller to get her money faster than she would if she didn’t provide the reduction.
A vendor who gives a 2% reduction on an invoice due in thirty days if the customer pays within the first 10 days after receiving the billing is an example of a cash discount.
b. In Which States Is A Credit Card Processing Cash Discount Program Not Legal In?
Eleven states have seen the error of their ways. They have made it unlawful to engage in cash discount merchant services programs. Merchants are prohibited from imposing surcharges on credit card purchases in California, Colorado, New York, Oklahoma, Texas, Puerto Rico, Massachusetts, Florida, Kansas, and Connecticut. Minnesota bans a vendor of products or services that establishes and is responsible for its consumer credit card from charging a premium to a buyer who chooses to pay with that credit or debit card rather than cash, check, or other similar methods.

The PFP team believes that the majority of states that consider this unlawful will keep rising. All businesses, in our view, should avoid these types of initiatives and urge their customers to return to a no-surcharge setting, such as free lollipops or a give-back scheme.

Conclusion
Cash Discount Merchant Services Programs are currently illegal in 11 different countries around the world. The vendors, in the mentioned countries, should not use the cash discount programs at all. Other states in America are also imposing restrictions on the employment of cash discount programs. Many more states will declare the cash discount programs as illegal.

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5 Websites to Buy Bitcoin With Debit or Credit Card In India.

It is difficult to find a bitcoin and cryptocurrency trading app that charges fairly for bitcoin and cryptocurrency purchases made with a credit or debit card. Here People can know about the websites from where they can invest in cryptocurrencies through debit and credit cards.

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It’s difficult to find a cryptocurrency Investment app or exchange that charges fairly for cryptocurrency purchases made with a credit or debit card. This is because most platforms charge exorbitant fees of up to 7%.

Experts at Carret have compiled a list of the best places to buy Bitcoin with a debit or credit card, instantly and with no hidden fees.

Most fiat-to-crypto exchanges now accept credit or debit cards for Bitcoin purchases. These transactions allow you to link your debit or credit card to your online account or profile. Once the ID has been verified, you proceed to purchase with a credit/debit card.

These transactions, however, take days to complete, usually one to two days as they settle from one account to another and also due to fraud checks.

Can you buy Bitcoins with a debit & credit card?

If your credit or debit card supports “3D Secure,” you can buy cryptocurrency with it. You will not need to pre-fund your account to purchase cryptocurrency using this payment method. You can buy cryptocurrency right away without having to wait for a bank transfer to complete.

Contact your credit/debit card provider directly to find out if your card supports 3D Secure, or simply try adding it to your crypto exchange account. If your card does not support 3D Secure, you will receive an error message. Some banks require additional security steps to authorize a 3D Secure purchase. Text messages, a bank-provided security card, or security questions are examples of such measures.

Please keep in mind that this method is not available to customers outside of Europe and the United Kingdom.

Websites to Buy Bitcoin With Debit or Credit Card In India:

Bitcoin is on its way to becoming mainstream, but the biggest barrier is allowing users to buy bitcoins instantly. Except for credit/debit cards, most Bitcoin exchanges accept a variety of payment methods. One of the reasons for this is Bitcoin’s irreversible nature.

However, many legitimate Bitcoin exchanges have begun to accept credit and debit cards as payment methods. Here are some of the most popular and legitimate Bitcoin websites where you can buy bitcoins with a debit or credit card.

Cex.io:

CEX.IO is a globally regulated cryptocurrency exchange where traders and investors can buy, sell, borrow, and earn cryptocurrency. Experienced crypto traders will find what they are looking for on CEX.IO, with its wide range of tradable assets and advanced trading features. Beginners, on the other hand, may find the platform’s numerous features overwhelming.

CEX.IO is regulated and licensed to operate in all jurisdictions where it provides its services, providing investors with peace of mind that they are using a compliant platform.

It supports a large number of cryptocurrencies: CEX.IO supports over 100 digital currencies and tokens, covering the majority of the leading crypto assets.

Coinmama:

Coinmama is well-known for its diverse payment options, which include the ability to buy cryptocurrencies using Visa or Mastercard credit cards. That practice may have gained supporters, but not among investment advisors: Buying any investment, such as cryptocurrency, with a high-interest credit card can be risky. Coinmama reached an agreement with Apple in September 2020 to allow the use of Apple Pay for crypto purchases.

Coinmama, unlike many other exchanges, does not facilitate transactions between buyers and sellers; all cryptocurrencies sold come from Coinmama’s inventory, so the transaction is between users and the company. To store the cryptocurrencies you purchase, you will need your digital wallet.

Binance:

Binance is the world’s largest cryptocurrency exchange, and it allows you to buy Bitcoin instantly with a Visa or Mastercard. It supports a large number of countries, and this platform is idle for those who want to trade cryptocurrency after purchasing it.

Binance accepts both debit and credit cards. Except for the United States, Binance serves all countries. Binance offers two payment options: Koinal (2.5 percent fees) and Simplex (3.5 percent ).

Binance also has the lowest fees, and unlike other platforms, you will have access to more sophisticated tools. Another reason to use Binance is that it has a large number of buyers and sellers, so you will get the best Bitcoin price.

CoinBase:

CoinBase is one of the most popular websites for buying Bitcoin, Litecoin, and Ethereum. They also allow you to buy Bitcoins with a Visa debit or credit card, and the transaction is instant. This feature is only available if you are a resident of the United States. If you are from a different country, you should consider the other options listed here.

The main Coinbase website and mobile app are very user-friendly and allow you to quickly buy, sell, and exchange cryptocurrencies. It currently supports over 100 currencies for trading, with the number growing regularly.

Earn cryptocurrency by earning interest on eligible balances or receiving a small amount of a new currency through Coinbase Earn. Any user can upgrade to Coinbase Pro, an active trading platform with additional features and lower fees.

Wirex:

Wirex is a cutting-edge app and payment card that enables users to send, receive, exchange, and spend a variety of digital and traditional currencies in real-time. Users can make payments through the Wirex platform using its Wirex App and payment card, which accept both digital and traditional currencies.

Wirex currently supports nine cryptos: Bitcoin, Dai, Ethereum, Litecoin, Nano, Ripple’s XRP, Stellar’s Lumen, Waves, and Wirex Token.

The platform accepts three payment methods: debit and credit cards, as well as e-wallets. Wirex, which was founded in 2016 and is headquartered in London, England, is regulated by the Financial Conduct Authority of the United Kingdom, the Bank of Lithuania, and the Monetary Authority of Singapore.

Carret: The best crypto exchange platform in India

You must register on the Carret a bitcoin and crypto investment platform using the Carret app. After signing up, complete your basic information (name, age, etc.), add your bank account, and complete your KYC (which takes less than 30 seconds). Once you’ve signed up and completed your KYC, you can easily deposit INR using our payment partner, Mobikwik.

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