Pacing one’s investment is of great significance. Be it the common man or a high net-worth individual, everyone has his/her own comfort level. When one is investing in the long term, finding one’s comfort level is crucial. Otherwise, one cannot sustain the train of investments for a long period of time.
Utility of SIP calculator
A SIP calculator is a tool that allows to one to find one’s level of comfort for long term investment.
Having Rs 1 crore is the dream of a lot of people. Let’s see how one can plan one’s journey comfortably to accumulate Rs 1 crore.
The goal SIP calculator offered by https://www.mutualfundssahihai.com/en/goal-sip-calculator free of cost online is an effective tool in this regard. It allows one to calculate the regular amount one should invest to reach a particular financial goal.
Contrary to popular impression, it is not difficult at all if one is disciplined in his/her investments.
In such a situation, the time period in which one wants to reach the financial goal is of paramount importance. To keep things simple, let’s assume that the average rate of return remains 12%.
If one wants to achieve it quickly, say within 10 years, one has to invest Rs 43,471 every month through the SIP route. He/she might choose a few funds of his/her choice but the rate of returns has been assumed to be 12%.
If you want to reach Rs 1 crore in 15 years, you have to invest Rs 20,016 every month.
SIP for longer terms
Expand your time horizon to 20 years and the monthly SIP falls drastically to Rs 10,108. Raising the investment horizon to 25 years makes it fall to merely Rs 5,322.
Start with 30 years in mind and you can accumulate Rs 1 crore by investing Rs 2,861 every month.
The morale of the story: start investing as early as possible. The sooner you do, the smaller the monthly SIP amount it turns out to be.
SIP flood
It is not for nothing that more and more money is flowing into the markets through the SIP route. In April this year, the inflow through SIP exceeded Rs 20,000 crore mark to reach Rs 20,300 crore in April alone. The amount further rose to more than Rs 20,900 crore in May. The sum that flowed through this route in June stood at Rs 21,262 crore.
Websites of major banks such as SBI, HDFC, ICICI, PNB, Axis and AMFI (Association of Mutual Funds in India) offer different types of SIP calculators.
(Disclaimer: This article is only meant to provide information. News9live.com does not recommend buying or selling shares or subscriptions of any IPO and Mutual Funds.)
The website of major banks and AMFI offer online calculators. Using it any investor can plan his goal to his/her comfort. Business Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
