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Glossary Mutual Fund / Term

Rupee-Cost Averaging

Investors who follow the Rupee-Cost Averaging method, invest a fixed sum at regular intervals of time, regardless of the market conditions. This practice ensures that the investor purchases lesser units when the markets are high and more units when the markets are not doing well. It brings down the average cost of each unit in the long run. SIPs are a good example of Rupee-Cost Averaging principle.

Permanent link Rupee-Cost Averaging - Creation date 2020-05-23


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