Monthly Rs 25,000 SIPs in these 5 mutual funds turn into Rs 1 crore in 10 years
If we adhere to the basic thumb rule of financial planning which is the 50-30-20 rule, we can start small and then will be able to accumulate a substantial corpus over a period. Simply speaking, the 50-30-20 rule states that put 50 per cent of the monthly earnings toward essential items, allocate 30 per cent towards discretionary items and the balance 20 per cent for savings and investments. So, being disciplined here and starting a SIP for a reasonable tenure of over 5 years can help you build good fortune. And if you can put a higher sum in the scheme, your wealth can soar relatively earlier.
So, herein we take 5 funds that have generated Rs 1 crore wealth in 10 years, with a monthly SIP of Rs 25,000:
Nippon India Small Cap Fund
The smallcap fund has an asset base of Rs 50,422.78 crore. NAV of the fund as on June 14 is 186.68. The fund over the 10-year period has given an annualised yield of 25.32 per cent, while its SIP return on an annualised basis during the period has been 26.17 per cent. So, a Rs 25,000 monthly SIP started 10 years with an investment of Rs 30 lakh will now be worth over Rs 1.32 crore.
Quant ELSS Tax Saver Fund-Direct Plan-Growth
The smallcap fund has AUM of Rs 9,860 crore. NAV of the fund as on June 14 is 438.8. The fund over the 10-year period has given an annualised yield of 26.02 per cent, while its SIP return on an annualised basis during the period has been 27.97 per cent. So, a Rs 25,000 monthly SIP started 10 years ago with an investment of Rs 30 lakh will now be worth over Rs 1.33 crore.
Axis Small Cap Fund-Direct Plan-Growth
The smallcap fund has an asset base of Rs 20,136.63 crore. NAV of the fund as on June 14 is 112.95. Over the 10 years, the fund has given an annualised yield of 22.71 per cent, while its SIP return on an annualised basis has been 24.33 per cent. So, a Rs 25,000 monthly SIP started 10 years ago with an investment of Rs 30 lakh will now be worth over Rs 1.08 crore.
HDFC Midcap Opportunities Fund-Direct Plan-Growth
The AUM of this HDFC fund is Rs 63,413.49 crore, while the NAV is Rs 196.16. In the last 10 years, the fund has generated an annualised SIP return of 23.18 per cent. The monthly SIP in the fund of Rs 25,000 started 10 years ago is now worth Rs 1.02 crore.
Hdfc Small Cap Fund- Direct Plan- Growth
The smallcap fund has an asset base of Rs 29,175 crore. NAV of the fund as on June 14 is 148.52. Over the 10 years, the fund has given an annualised yield of 21.25 per cent, while its SIP return on an annualised basis has been 23.02 per cent. So, a Rs 25,000 monthly SIP started 10 years ago with an investment of Rs 30 lakh will now be worth over Rs 1.05 crore.