What is meant by "Frequency" and "Total Period"?
- 'Frequency' means the time interval, after the start date, with which you wish SIP orders to be placed in your account. For example, frequency for your SIP can be daily, weekly or monthly.
- 'Total Period' refers to the number of times the order should be executed. For example, total period could be 12 if you want your SIP to be executed monthly and for a total lifespan of 1 year.
The following are the different frequencies and the maximum period that is allowed:
| Frequency | Maximum Period that’s allowed |
|---|---|
Daily | 500 |
Weekly | 100 |
Fortnightly | 50 |
Monthly | 60 |
For example: If you have placed a SIP Instruction for buying 100 shares of “TATA MOTORS” at a 'Monthly' frequency for a total period of 2 months with start date 20-05-2022 Kotak Securities will place 2 orders for this SIP i.e. the first order being on the Start date and the other order in the next month after the start date on a monthly frequency.