The Systematic Investment Plan (SIP) is a profitable investment option for people. SIP is a service offered by mutual funds that enables investors to regularly deposit a fixed amount into a mutual fund scheme. Instead of investing all at once, a person can do it once a month or once every three months.
Investors have the opportunity to grow a sizeable sum through SIP for their mid-term investing goals, such as higher education for children, dream holidays, sabbaticals, etc.
Even if you are unable to invest a large sum of money at once, systematic investing can help you build wealth little by little.
We’ll explain how to earn Rs. 50 lakh with a SIP plan today. Investments should be increased every time one’s income increases, according to tax and financial experts. a yearly increase in mutual funds A suitable choice for that is SIP.
Jitendra Solanki, a tax and investment expert registered with SEBI, suggests that it is possible to reach Rs. 50 lakh in ten years “A moderately ambitious investment goal of Rs 50 lakh in ten years would necessitate investment discipline, such as continuing one’s monthly SIP without fail under any circumstances. In addition, the investor should use an annual step-up to boost their monthly SIP. An investor will be able to start with the smallest monthly SIP amount thanks to this.”
When asked how much return can be anticipated after a mutual fund SIP investment for 10 years, experts say that one can expect a return of roughly 12%.
Mutual Fund Calculator:
Using the assumption that a step-up of 15% each year is made, a return of 12% is anticipated, and the person intends to gain Rs. 50 lakh in 10 years. The mutual fund return calculator or mutual fund SIP calculator in this instance advises that the investor must begin a mutual fund’s SIP with an investment of Rs 12,500 each month.