According to Naren, if an investor puts money into the wrong product through the popular Systematic Investment Plan (SIP) at the wrong time, it means trouble. He was alluding to the continued flows into equity schemes that bet on small-cap and mid-cap stocks – considered expensive even after the recent sell-off. Naren highlighted a few periods when SIPs as an investment plan would have lost money for investors. These included phases like 1994-2002 and 2006-2013 when SIPs in mid-caps would not have yielded any returns; on the contrary, the investment strategy eroded investor money. According to Naren, if an investor puts money into the wrong product through the popular Systematic Investment Plan (SIP) at the wrong time, it means trouble. He was alluding to the continued flows into equity schemes that bet on small-cap and mid-cap stocks – considered expensive even after the recent sell-off. Naren highlighted a few periods when SIPs as an investment plan would have lost money for investors. These included phases like 1994-2002 and 2006-2013 when SIPs in mid-caps would not have yielded any returns; on the contrary, the investment strategy eroded investor money. Economic Times
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