How to Start SIPs in 2025: A Beginner’s Complete Guide
Published : September 12, 2025
If you were to ask 10 traders or investors in India “What are your biggest regrets?” a lot of them are going to have the same answer: “I wish I started investing through SIPs sooner.”
Traders often focus on finding the next big opportunity like a breakout, a trading advantage or options strategies. However, while you are busy, SIPs (Systematic Investment Plans) quietly grow your money in the background. In 2025 SIPs are not only meant for cautious investors.
At RMoney, we’ve noticed that traders of all types including those who analyze charts and those who create algorithms are beginning to include Systematic Investment Plans (SIPs) in their plans for building long-term wealth. These ideas shouldn’t only relate to people who trade in the markets casually. They should apply to everyone who is serious about trading including stock traders, algorithms, developers, technical analysts and professional options strategists. SIPs as we know them now are becoming more advanced and will soon cover a wider range of trading options.
This guide will help you understand:
Why SIPs matter more than ever in 2025
How to set one up, step-by-step
How SIPs uniquely complement various trader profiles
What pitfalls to avoid, backed by real data
Understanding SIP and Why it Works
A Systematic Investment Plan (SIP) allows you to invest a set amount of money regularly like every week, month or quarter into mutual funds. This method helps you invest over a long period and makes it easier to decide when to enter the market. SIPs offer several advantages such as:
Rupee Cost Averaging: you will have a tendency to buy more units when prices are low and therefore you purchase fewer units if prices are high
The Power of Compounding: your returns are reinvested, and growth creates more growth
Discipline and Flexibility: SIPs are automated payments that turn investing into an easy, albeit flexible, process.
Why SIPs Matter? Especially for Traders and Algos in 2025
Trading makes you money. SIPs deliver compounding. Here’s why SIPs add value to your profile:
Stock Traders: SIPs provide stability when trades don’t go your way.
Algo Traders/Creators: Think of SIPs as a non-emotional portfolio running alongside your strategies.
Options Traders: SIPs are the key to converting premium strategies in high-risk to long-term equity upgrades.
Technical Traders: They provide balance between a chart (short term oriented) focus and setting long-term discipline.
Investors: SIP’s are the wealth-creation locomotive. Simple, adaptable, and powerful.
Why 2025 Is the Perfect Time to Start
Exceptional Growth In SIP Usage
The AUM of mutual funds in India surpassed ₹72.2 lakh crore as of May 2025. Retail and SIP inflows were the main drivers of the AUM growth.
SIP AUM alone exceeded ₹15 trillion in June 2025, achieving an exceptional growth of ₹5 trillion in only 17 months.
SIP inflows were ₹27,269 crore in June 2025, which was the first month in history with SIP inflows over ₹27,000 crore.
The CEO of Edelweiss Mutual Fund, Radhika Gupta, called SIPs the “aam-crorepati ki kahaani.” Cropati success stories are being created from modest, everyday investments.
Ignoring direct plans and cost structures Over time, save a lot.
Progressive SIP Ideas for 2025
1. Top-Up SIPs
Think about increasing your monthly SIP by 10-15% once every 12 months. This tiny annual step can keep your investments in line with inflation and will ensure that compounding increases your wealth in the long-run!.
2. Smart Beta Options
Consider factor-based ETFs (e.g. quality, low volatility, etc). These funds offer a better alternative to ordinary index funds and are still cost effective.
3. Global Diversification
If permissible by your platform you can allocate some of the SIPs into international ETFs (e.g. US markets, etc.). This would also help you diversify away from India-based investment and expose you to global growth.
4. Algo Integration
Think of a SIP as a systematic “strategy” in your trading system. By making SIPs systematic (black-box), you will eliminate emotional decision-making and enhance consistency.
RMoney’s Perspective
At RMoney, we believe SIPs aren’t just for safe or conservative investors. They’re a must-have for anyone serious about building wealth. SIPs help you avoid emotional traps like overtrading or FOMO and keep you disciplined. When you combine smart trading with the steady growth of SIPs, it’s like adding a boost to your financial journey, helping you grow faster and more confidently.
Final Takeaway
In 2025, SIPs are much more than beginner-friendly investments. Even veteran traders, developers, and technical analysts will view them as necessary. They provide you with:
Stability during periods of volatility
Compounding when you’re busy trading
Edge over a long-term horizon, quietly compounding in the background
Disclaimer: This article is for informational purposes only and should not be taken as financial advice. Readers should consult a qualified advisor before making investment or trading decisions.
I have expertise in simplifying complex concepts around trading and investing into clear, practical insights. At RMoney, I write on trading, equity markets, derivatives, and long-term investing to help readers make informed financial decisions. My writing is focused on delivering clarity and confidence to investors at every stage of their journey.