How Many SIPs Should You Have in Your Mutual Fund Portfolio? 

Client Profile:

👤Raj (39) – Marketing professional in Delhi
👩‍🏫Neha (35) – School teacher
👨‍👦Family: 11-year-old son, Rahul
💰Household Income: ₹1.5L/month (post-tax)

Financial Goals

Raj and Neha met with their financial planner to plan for the following goals:

  • Down payment for a house (5-year goal)
  • Rahul’s higher education (10–12 year goal)
  • Rahul’s marriage (15–20 year goal)
  • Retirement (20+ year goal)

The Investment Approach: 1 Goal = 1 SIP

Instead of starting 1–2 large SIPs randomly, their advisor recommended a goal-based SIP strategy:

GoalSIP TypeInvestment HorizonSuggested Fund Type
House down paymentSIP 15 yearsShort duration or hybrid fund
Child’s educationSIP 210 yearsFlexi-cap or large-cap fund
Child’s marriageSIP 315 yearsMid-cap or multi-cap fund
RetirementSIP 420+ yearsIndex fund or diversified equity

The Real Insight: It’s Not About the Number

The question “How many SIPs should one have?” misses the bigger picture.

  • It doesn’t matter if you have 4 or 14 SIPs
  • What matters is clarity of purpose
  • Each SIP should be tied to a specific, measurable goal

This goal-linked investing keeps Raj and Neha focused. They’re less likely to panic during market volatility because their SIPs are mapped to a clear outcome — their home, their child’s future, and their own retirement.

Key Takeaways

  • One SIP per goal brings clarity and discipline
  • Staying invested becomes easier when you’re working towards something meaningful
  • It also simplifies tracking and rebalancing every year

Summary

Bad SIP StrategyGood SIP Strategy
Random investments with no timelineEach SIP mapped to a specific financial goal
Too many funds chasing returnsLimited, curated funds based on horizon & risk
Reacting emotionally to marketsDisciplined, long-term mindset

“The number of SIPs doesn’t matter.
What matters is whether your SIPs are aligned with your life’s goals.”

Disclaimer: The examples and case studies presented above are hypothetical and for illustrative purposes only. They are not based on actual clients unless explicitly stated and do not represent specific investment advice. Financial products and strategies mentioned should be evaluated based on your individual risk profile and objectives.
Please consult a certified financial advisor before making investment decisions.