By Admin 
SIP Investment Returns Calculation: In the changing environment, along with earning money, it has become most important to save money and invest it in the right place. Many investment options are available in the market. Where investors invest as per their convenience. SIP in mutual funds is very famous among Indian investors. The reason for this is that investors are able to create a big fund by investing small amounts for a long period.
If the market trend remains positive, then you get better returns in SIP. This is the reason why many people are choosing the path of investing in SIP. In such a situation, the question that comes in the mind of small investors who invest thousand-two thousand rupees every month is, how much return they will get in the long term. Let us find the answer to this question….
This much fund will be formed on investment of Rs 1000
Regular investment habit helps in building a strong fund in the long run. For example, if a person invests SIP of Rs 1000 every month in a mutual fund and continues this investment for 20 years.
Based on the estimated return of 12 percent during this period, he can have a corpus of about Rs 9.19 lakh. The total deposit amount of the investor during this period will be Rs 2.40 lakh. Whereas one can get a profit of around Rs 6.79 lakh in the form of earnings. Which clearly shows the power of compounding.
This much corpus can be created in 20 years with a monthly SIP of Rs 2000.
If an investor makes a SIP of Rs 2000 every month in a mutual fund and maintains this investment continuously for 20 years, then according to the estimated return of 12 percent, he can have an amount of around Rs 18.39 lakh.
The total investment during this period will be Rs 4.80 lakh. Whereas the potential profit can reach approximately Rs 13.59 lakh. Which shows the benefits of disciplined investment over the long term.
SIP of Rs 3000 will create this much fund in 20 years
A good fund can be created by investing in mutual funds through SIP of Rs 3000 every month and continuing it continuously for 20 years. Based on the estimated return of 12 percent, the total corpus at the end of this period can reach approximately Rs 27.59 lakh.
During this period, a total investment of Rs 7.20 lakh will be made from the investor’s pocket. Whereas the potential earning can be around Rs 20.39 lakh.
Disclaimer: (The information provided here is being given for information only. It is important to mention here that investment in the market is subject to market risks. Always take expert advice before investing money as an investor. ABPLive.com never advises anyone to invest money here.)
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