Keeping fix amount every month for the purpose of investment or saving for creating wealth in the form of SIP or RD is a trending option in India. Major difference between recurring deposit and systematic investment plan (SIP) is RD is opened with bank where as SIP is managed by Mutual funds companies. In SIP, a person has to set aside fix amount for every month or quarter for creating wealth where as in case of RD, we have to set aside a fix amount every month for predefined period and at the end of that period we get interest and amount invested.