Mutual Fund Calculator: Here’s how you can become a crorepati by investing Rs 10,000 per month in SIP
You can make Rs 1 crore by continuously investing in mutual funds schemes.
- Mutual fund investments are linked to equity markets.
- Investors get similar returns to stock investments in mutual fund investments.
- Mutual fund investments are also subject to market risks.
New Delhi: In India, millions of investors have put their money on mutual funds, one of the most popular investment instruments in India. Investors can easily invest every month in a mutual fund systematic investment plan (SIP) and watch their money grow with each investment.
Since mutual funds investments are linked to equity markets, investors get similar returns to stock investments. However, this means that your investments are also subject to market risks, and in case of bearish trends, you could also lose money.
Therefore, it is advised that investors should keep investing in mutual funds for longer time periods. You can set your mutual fund goals before investing. The practice ensures that your money grows continuously.
For instance, you can become a crorepati by investing just Rs 10,000 per month in a mutual fund plan offering at least 12% interest. In this case, you will need to continuously invest for a period of 21 years.
At the end of 21 years of investing, the total money in your mutual fund account will be Rs 1,12,74,002, of which Rs 12 lakh will be your invested money and Rs 1,00,74,002 will be the money made by investing in mutual funds.
However, for that, you need to select a mutual fund that guarantees an annual return at a 12% rate. You can start your mutual fund investment journey completely online. However, there are some brokerage firms that also offer offline investment options. Also Read: After firing 900, Better.com CEO Vishal Garg takes time off with immediate effect
But don’t get carried away by the promise of attractive returns, as you need to completely understand the risks involved in mutual fund schemes. Also Read: Locked out of Facebook account? Meta could soon let you resolve issues with live chat support