In today’s world SIP has become increasingly popular among small investors. The reason for this is the creation of a big fund from a small investment and bumper returns. Therefore, the number of investors investing in mutual funds through SIP has increased rapidly. With consistent investments, SIP (Systematic Investment Plan) in mutual funds is increasingly becoming the preferred choice for those aiming to build wealth over time. Here, we’ll break down how long it would take to accumulate over ₹1 crore by investing ₹2000, ₹3000, or ₹5000 per month, based on an estimated annual return of 15%.
Example 1: Monthly SIP of ₹2,000
- Investment Period: 28 years
- Total Investment: ₹6,72,000
- Estimated Returns: ₹96,91,573
- Total Value: ₹1,03,63,573
By investing ₹2,000 monthly, you could accumulate over ₹1 crore in approximately 28 years.
Example 2: Monthly SIP of ₹3,000
- Investment Period: 26 years
- Total Investment: ₹9,36,000
- Estimated Returns: ₹1,05,39,074
- Total Value: ₹1,14,75,074
With a monthly SIP of ₹3,000, your investment could grow to over ₹1 crore in about 26 years.
Example 3: Monthly SIP of ₹5,000
- Investment Period: 22 years
- Total Investment: ₹13,20,000
- Estimated Returns: ₹90,33,295
- Total Value: ₹1,03,53,295
For those investing ₹5,000 each month, reaching the ₹1 crore mark could take around 22 years.
These calculations highlight the power of compounding and disciplined investing over time, which can help you achieve significant financial goals through systematic monthly contributions.
Disclaimer: For any financial investment anywhere on your responsibility, Times Bull will not be responsible for it.