Your Guide on How to Change SIP Amount

Can I Change Amount in SIP?

It’s important to be clear from the start — you won’t find many options if you’re wondering can I change my sip amount. 

The only major options in this scenario are SIP top-ups and cancellation. 

How to Change SIP Amount?

As mentioned earlier, the SIP amount increase or decrease can be primarily made through two options. 

Let’s discuss each one in more detail here —

Via Top-ups

Top-up SIPs, also known as step-up SIPs, allow you to increase your contributions at defined intervals. Here, the amount that you invest in a specific period increases by a fixed amount or percentage.

Here’s an example of the same —

Both Aman and Bilal invest AED 2,000 per month in SIPs and decide to go for a top-up every year. 

Aman chooses a percentage increase at the rate of 10%. Bilal, meanwhile, opts to increase the amount by AED 200. 

Here’s how their investments will look like in the future —

This type of SIP amount increase is ideal for salaried individuals who receive regular half-yearly or yearly increments. In this case, SIP contributions are automatically increased considering the increment in your salary without any manual intervention. 

Note: SIP top-ups are possible only at certain intervals.

Via Policy Cancellation 

If the purpose behind your query of ‘can I change my monthly SIP amount’ is to decrease your regular investment amount, you cannot take an SIP top-up.

In such a case, you can simply cancel your existing SIP. Once done, you can start a new one at a lower amount that matches your requirements. 

To cancel your SIP, you will need to submit a request to the fund house. This can be done offline or through its website or mobile app. 

Important: Keep in mind that early exits can bring exit charges and more. Furthermore, your investment goals can be impacted. Thus, it is advisable to have a word with a financial advisor before making any changes.

Frequently Asked Questions