New Delhi: It is recommended that you start your financial planning early. The earlier you start, the more funds you will be able to accumulate over time. It also helps you to inculcate financial discipline. One way of achieving financial discipline is to invest via a monthly Systematic Investment Plan (SIP). You can invest in mutual funds via SIPs. SIPs start from as little as Rs 100.
To build a large amount of fund, you can invest Rs 15,000 monthly in an SIP in mutual funds. SIPs leverage the power of compounding over the long term, offering substantial benefits. Let’s see how much corpus you will be able to built over 15 year and 20 years if you invest 15,000 monthly via SIP
SIP calculator: Rs 15000 investment
Investing Rs 15,000 per month with an expected annual return of 12% and an annual step-up of 1 per cent over 15 years results in a total investment of Rs 28,97,441. Anticipated interest earnings could reach Rs 50,54,317, projecting a future investment value of approximately Rs 79,51,759. Similarly if you invest Rs 15,000 over 20 years by keeping every condition constant, you will be able to invest Rs 38,63,255. With a total interest of Rs 67,39,090, you will build a corpus of Rs 1,06,02,345. Step-up SIP enables investors to automatically raise their SIP amount after a predetermined period.
Things to keep in mind
However, it’s crucial to recognize that past performance does not ensure future returns, and mutual funds do not guarantee fixed returns. Therefore, the maturity amount may vary based on the actual returns achieved over the investment period.
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(Disclaimer: This article is only meant to provide information. News9live does not recommend buying or selling shares or subscriptions of any IPO and Mutual Funds.)
SIP Calculator: SIP helps investors by spreading out their investments over time. This way, they can avoid the ups and downs of the market affecting the average cost of their investments too much. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
