Hi, although SIP has many advantages like promoting disciplined investing, I'm trying to figure out the disadvantages of investing through SIP(Plain SIP, where your money is debited from your bank account every month or so). I thought of a few. Hopefully you guys could add more to this list. 1.)SIP's are good in a volatile market. However in a bull market, SIP's can become an costly affair, with your average cost price increasing with each investment. 2.)If you had an lump sum amount to invest and opted for the SIP route, most of your money would be sitting idle in your bank account earning (4-6)%. In that case, would you have been better off, if you have made an lump sum investment in a liquid fund and opted for an STP. 3.)SIP's happen on a fixed date.So let's say your SIP date is on 7th of each month, and the market ran up 200 points on these 7 days where you make your purchase and on the 8th day market tanks 350 points, you are actually left wondering if you could have made your investment on 8th. I'm not talking about market timing , I'm just saying if the SIP could be triggered in case of a market downfall. Lets say you have 1000 to invest (500 fixed on a particular day) and the remaining 500 would be triggered in case of market downfall. Adding a active style of flavor to a passive style of investing such as SIP. I don't know if there are options already available on this. I have heard about Flexi SIP, probably that could be the answer. 4.)And if you are looking for a 15-20 year period, does it actually matter if you have made an SIP or an lump sum investment. Please share your thoughts.