Knowledge Base

STOCK SIP

Stock SIP is a simple way to invest in equities. It allows investors to acquire stocks in a systematic (quantity-based) way on a regular basis (monthly). It is the best investment strategy for long-term investors as it enables them to take advantage of the market’s unpredictability by implementing a disciplined investing plan.

FAQs:

1. The amount for SIP will be fixed or not for every month?

The amount will not be fixed. It depends upon the stock’s price. If the price of the stock falls, then the total amount required (as per the quantity fixed by you) for SIP in that stock will also fall, and vice versa.

2. What happens if I’m unable to maintain the SIP amount in my bank account/ledger?

If there’s a shortfall in the amount that is needed for SIP in a particular month, your SIP order will be rejected. But don’t worry! In such cases, there are no charges/penalties imposed. The SIP will continue from next month on your SIP date. You could even place the same SIP order in the same quantity by yourself manually at a later date, as and when you have the amount available.

3. What is the product type of my SIP orders?

All SIP orders are CNC (delivery) orders. The stocks will be credited in the demat account as holdings on T+2 days (transaction plus 2 days).

4. When will I receive the mandate request of auto-debit for the stock SIP?

You will get an auto-debit request 3 days before the SIP investment date set by you.

5. Is there any subscription charges for the Stock SIP?

No, there are no subscription charges for investing in stocks through the SIP mode.

6. Is there any exit load for the stock SIP?

No, there is no exit load. You can square off/ sell your shares bought through SIPs at your discretion.

7. Is there any penalty charge if my SIP slips?

No, there are no penalty charges from Samco, in case your SIP order slips.

8. Can I make a partial payment for my stock SIP order?

No. The order value must be paid in full. Partial payment is not acceptable to complete the order.

9. Are there any charges to cancel the SIP?

No, there are no charges for the cancellation of stock SIP orders.

10. Can e-Samco clients place Stock SIP buy and sell orders?

If you’re an e-Samco client, you can place stock SIP purchase (buy) orders, but need to send e-Samco sell request from Samco Star back office to sell the shares bought through SIPs.

11. How can I sell my stocks purchased through SIP?

You can sell your stocks purchased through SIP normally as you would do for selling your CNC/ delivery shares.

12. What will be the better time period for doing SIP and getting good returns?

Doing SIP in quality stocks could produce relatively better returns on long-term investments.

13. Can I still go through with my SIP order if I don’t have money in my bank account but have it in my ledger?

If you don’t have the money needed for SIP in your bank account, your Samco ledger will be checked for the necessary amount and then the SIP amount will be deducted from your ledger.

14. Can I create an auto-debit mandate from a non-registered bank account?

No, you have to create an auto-debit mandate from your registered bank only.

15. What is the maximum value of the auto-debit mandate?

The maximum value of the auto-debit mandate is Rs. 11,000, but the amount will be deducted as per your SIP plan only.

16. Will I get an SMS or mail remainder before the SIP amount is deducted from my bank account or ledger?

Yes, you will get an SMS/mail remainder before the deduction of money from your bank account or ledger. 

17. Can I pause my SIP for a few months? Are there any charges for that?

Yes, you can pause your stock SIPs, and there are no charges for it.  

18. What happens if my SIP date falls on a holiday?

If there’s a market holiday or calendar holiday, your SIP order will be completed on the next market working day.

19. How to start Stock SIP on the Samco app?

To start SIP in the stock of your choice, watch the following video

If you need any assistance in understanding stock SIP or need help in the process of setting up a SIP, you can get in touch with us by raising a ticket. Raise a ticket now –>

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