Best SIP to Invest for 6 Months
While SIPs are generally recommended for long-term goals, there are
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What is a SIP for 6 Months?
A Systematic Investment Plan (SIP) for 6 months is a short-term investment strategy in which you regularly invest a fixed amount in a market-linked fund for six consecutive months. It helps you benefit from disciplined investing, cost averaging, and potential market growth over a brief period. It gives you flexibility to reassess your financial goals at the end of the term.
Best Ultra-Short Duration SIPs to Invest for 6 Months
The Ultra-short Duration Funds are open-ended debt schemes, which are ideal for investors with a goal of a week to six months. These funds focus on low-risk instruments like treasury bills and commercial papers, offering better liquidity and stable returns:
| Ultra-Short Duration SIP |
Assets Under Management (AUM) |
6-Month Returns |
1-Year Returns |
| UTI Ultra Short Duration Fund |
₹4,131 Crs |
3.98% |
7.98% |
| Nippon India Ultra Short Duration Fund |
₹8,767 Crs |
4.13% |
8.2% |
| Axis Ultra Short Term Fund |
₹6,122 Crs |
4.09% |
8.1% |
| ICICI Prudential Ultra Short Term Fund |
₹15,092 Crs |
4.11% |
8.07% |
| Tata Ultra Short Term Fund |
₹4,817 Crs |
4.09% |
8.08% |
- Insurance Companies
- Mutual Funds
|
Returns |
| Fund Name |
5 Years |
7 Years |
10 Years |
| Max Life |
27.23% |
22.19% |
|
| Tata AIA |
30.96% |
22.84% |
|
| Bajaj Allianz |
23.63% |
13.87% |
|
| HDFC Standard |
25.19% |
15.94% |
|
| Canara HSBC Oriental Bank |
19.43% |
11.22% |
|
| Bharti AXA |
23.07% |
15.89% |
|
| Birla Sun Life |
26.07% |
15.44% |
|
| ICICI Prudential |
23.04% |
14.48% |
|
| LIC |
- |
- |
|
| PNB Metlife |
24.23% |
17.63% |
|
Fund rating powered by
Last updated: Jun 2025
| |
Returns |
| Fund Name |
3 Years |
5 Years |
10 Years |
| QUANT |
23.92% |
31.48% |
|
| PARAG PARIKH |
20.69% |
26.41% |
|
| EDELWEISS |
22.34% |
24.29% |
|
| KOTAK |
24.64% |
25.01% |
|
| MIRAE ASSET |
19.74% |
24.32% |
|
| PGIM INDIA |
14.75% |
23.39% |
|
| DSP |
18.41% |
22.33% |
|
| CANARA ROBECO |
20.05% |
21.80% |
|
| SUNDARAM |
18.27% |
18.22% |
|
Details of Best Ultra Short Duration SIPs to Invest for 6 Months
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UTI Ultra Short Duration Fund
UTI Ultra Short Duration Fund is a debt fund that aims to provide stable returns by investing in a mix of short-term debt and money market instruments. The fund typically holds securities with a duration of 3 to 6 months, offering better liquidity and lower interest rate risk.
Features of UTI Ultra Short Duration Fund:
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Investment Objective: The scheme aims to generate reasonable income with low volatility by investing in a portfolio of debt and money market instruments.
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Launched On: 01 January 2013
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Benchmark Index: NIFTY Ultra Short Duration Debt Index A-I
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Risk: Moderate
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Expense Ratio: 0.35%
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Exit Load: 0%
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Nippon India Ultra Short Duration Fund
Nippon India Ultra Short Duration Fund is a debt fund focused on providing short-term income by investing in a mix of short-term debt and money market instruments. This fund is ideal for investors seeking a low-risk, short-term investment option.
Features of Nippon India Ultra Short Duration Fund:
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Investment Objective: The scheme aims to generate optimal returns while maintaining moderate risk and liquidity by investing in debt and money market instruments.
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Launched On: 27 August 2018
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Benchmark Index: NIFTY Ultra Short Duration Debt Index A-I
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Risk: Moderate
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Expense Ratio: 0.36%
-
Exit Load: 0%
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Axis Ultra Short Term Fund
Axis Ultra Short Term Fund is a debt mutual fund that primarily invests in short-term debt and money market instruments. It aims to deliver better returns than traditional savings accounts while maintaining capital safety.
Features of Axis Ultra Short Term Fund:
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Investment Objective: The scheme aims to generate regular income and capital appreciation by investing in a portfolio of short-term debt and money market instruments. It focuses on maintaining a Macaulay duration of 3 to 6 months to manage interest rate risk effectively.
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Launched On: 27 August 2018
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Benchmark Index: NIFTY Ultra Short Duration Debt Index A-I
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Risk: Moderate
-
Expense Ratio: 0.36%
-
Exit Load: 0%
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ICICI Prudential Ultra Short Term Fund
ICICI Prudential Ultra Short Term Fund is a debt mutual fund focused on investing in short-term debt securities and money market instruments. It aims to provide investors with regular income and capital preservation while minimizing interest rate risk.
Features of ICICI Prudential Ultra Short Term Fund:
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Investment Objective: The scheme aims to generate income by investing in a variety of debt and money market instruments.
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Launched On: 01 January 2013
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Benchmark Index: NIFTY Ultra Short Duration Debt Index A-I
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Risk: Moderate
-
Expense Ratio: 0.39%
-
Exit Load: 0%
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Tata Ultra Short Term Fund
Tata Ultra Short Term Fund is a debt mutual fund that invests primarily in short-term debt instruments and money market securities. This fund focuses on high-quality securities and aims to deliver returns that exceed traditional savings accounts, making it an attractive choice for conservative investors looking for stability in their portfolio.
Features of Tata Ultra Short Term Fund:
-
Investment Objective: The scheme aims to generate returns by investing in Debt and Money Market instruments, targeting a Macaulay duration of 3 to 6 months.
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Launched On: 11 January 2019
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Benchmark Index: CRISIL Ultra Short Duration Debt A-I Index
-
Risk: Moderate
-
Expense Ratio: 0.28%
-
Exit Load: 0%
SIP Calculator
Monthly Investment
₹22.4 L
Top Funds with High Returns (Past 7 Years)
18.4%
High Growth Fund
17.46%
Top 200 Fund
14.76%
Accelerator Mid-Cap Fund II
14.81%
Opportunities Fund
10.39%
Equity II Fund
13.52%
Accelerator Fund
14.6%
Growth Opportunities Plus Fund
15.6%
Multiplier
11.66%
Equity Top 250 Fund
13.49%
Future Apex Fund
12.61%
Pension Opportunities Fund
14.22%
Frontline Equity Fund
15.14%
Virtue II
11.01%
Pension Dynamic Equity Fund
11.94%
Equity Fund
10.29%
Blue-Chip Equity Fund
Taxation on Best SIP for 6 Months in India
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For SIPs with a 6-month investment horizon, gains are treated as short-term capital gains (STCG) because the holding period is less than one year.
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For equity mutual funds, STCG is taxed at a flat rate of 20% as per the new rules effective from FY 2025-26, plus applicable surcharge and cess.
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For debt mutual funds, short-term gains (holding period less than 36 months) are taxed as per your income tax slab rate.
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Each SIP installment is considered a separate investment and taxed based on its individual holding period (FIFO method).
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Dividends received from mutual funds are added to your total income and taxed as per your income tax slab.
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No specific tax exemption is available for SIPs in non-ELSS funds for such a short duration.
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Always consider the latest tax slab and surcharge rates applicable to your total income for accurate tax calculation.
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The ELSS SIPs provide tax deductions under Section 80C up to ₹1.5 lakh with a 3-year lock-in.
Why Should You Invest in the Best SIP for 6 Months?
The following list shows the key benefits of ultra-short-term and short duration SIPs to invest for 6 months:
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Short-Term Goals: The SIP for 6 months is ideal for investors looking to achieve short-term financial objectives or save for specific expenses.
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Market Timing: It provides an opportunity to capitalize on market fluctuations within a shorter investment horizon.
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Sufficient Returns: These funds have the potential for attractive returns over a brief investment period, especially in equity-focused funds.
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Accrual Returns: You benefit from regular income through accrual returns from debt instruments within the portfolio.
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Reduced Risk: SIPs for 6 months mitigate market volatility through systematic investments, averaging out costs over time.
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No Exit Load: Many short-term SIPs do not impose exit loads, allowing for hassle-free withdrawals.
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Liquidity: The shorter investment duration allows easier access to funds after the investment period ends.
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Flexibility: You can adjust your investment strategy based on market performance and personal financial goals.
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Tax Efficiency: Short-term investments in equity may yield returns with a favorable tax rate compared to traditional savings instruments.
Factors to Consider Before Investing in Best SIP for 6 Months
You must consider the following factors before you select the best SIP Plans to invest for 6 months for you:
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Fund Type: Choose between equity, debt, or hybrid funds based on risk appetite and return expectations.
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Historical Performance: Analyze the fund’s past performance to assess its consistency in delivering returns.
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Expense Ratio: Opt for funds with a lower expense ratio to maximize your returns.
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Market Conditions: Consider prevailing market trends and interest rates to choose the right asset allocation.
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Fund Manager’s Expertise: Review the fund manager’s track record and investment strategy for managing short-term SIPs.
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Exit Load: Ensure the fund does not impose an exit load, which can affect short-term returns.
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Sector Allocation: Check the fund’s sector exposure to ensure diversification and potential for higher returns.
In Summary
When choosing the best SIP for a 6-month investment, it is crucial to remember that SIPs are typically designed for long-term growth. For short-term goals, you may want to explore less volatile options like liquid or ultra-short-term funds, which offer stability and modest returns. Always assess your risk tolerance and financial objectives before investing.
Frequently Asked Questions
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Which type of mutual fund is suitable for a 6-month SIP?
For a 6-month SIP, ultra-short duration funds or liquid funds are more suitable. These carry lower risk and aim to provide stable, short-term returns.
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Is SIP better than lump sum for a 6-month period?
For such a short time frame, lump sum investment in a liquid fund may be more efficient. SIPs benefit more when invested consistently over the long term.
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Are there any risks in 6-month SIPs?
Yes. If you choose equity or hybrid funds, you may face market volatility and possibly even short-term losses. Safer options would be liquid or ultra-short duration debt funds.
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Which SIP is good for 6 months?
SIPs are designed for long-term investment. For a 6-month horizon, consider liquid or ultra-short-term funds instead of traditional SIPs.
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Which SIP for 6 months gives 40% return?
No SIP guarantees 40% returns in 6 months. Such returns are rare and usually come with high risk in equity markets.
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Which mutual fund gives the highest return in 6 months?
High-return funds typically involve higher risk. Equity funds might give good returns, but for a 6-month horizon, consider debt or liquid funds for safer options.
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How to invest money for 6 months?
Invest in short-term investment options like liquid funds, ultra-short-term debt funds, or fixed deposits for stable and moderate returns in 6 months.
