If an investor invests Rs 20,000 every month in a mutual fund SIP, after 20 years of continuous investment, he can create a fund of over Rs 2 crore.
How to get rich is a problem that most people do not understand, a question that everyone wants to know the answer to. There is no commoner who can answer this question. But financial market experts can show you the right way. For this, you can get good information from experts on how, how much, where and for how long to invest. Tax and investment experts explain how to become a millionaire. It is also risk free. Experts say you can do this by investing less money in a mutual fund SIP (Systematic Investment Plan). A mutual fund investment can take 20 years or more. That is, you must invest continuously for at least 20 years. But its fruit is very beneficial to you.
Many experts believe that you can become a millionaire by investing longer in mutual funds through SIP. SIPs do not require a single amount (large investment at once). Any investor here should invest from monthly savings. That is, you can continue to invest in mutual funds with SIP or if you have the money for a one-time investment.
Rs. Do this for a fund of 2 crores …
If an investor invests Rs 20,000 every month in a mutual fund SIP, after 20 years of continuous investment, he can create a fund of over Rs 2 crore. That is, you can create a fund of 2 crores in 20 years. For this you have to invest Rs 20,000 every month. Mother experts say that you need to choose the right treasure for this. For this, you can seek the advice of a knowledgeable person. Or you can research yourself and get funding for better funding.
How many funds to choose
Experts believe that you should invest Rs 4000-4000 in 5 funds every month. If an investor invests Rs 4,000 in five good funds for the next 20 years, he will get Rs 2 crore by the end of this period. It is suggested to invest Rs 20000 in funds as only one fund will not perform well. In such a situation, you will get good returns from other funds. Now we will tell you how to choose a good fund. Choose the best treasure this way
Generally, people only see the performance of the fund for 1-2 years. But this method is wrong. In fact, some schemes can give high returns when the stock market rises and make you lose out if the stock market declines. Suppose a fund returns an average of 19 percent over 6 years. Such a fund is better than a fund that has a return of 28% over the first three years, but a return of 3% over the next three years. Because of its 6-year average return of 14.7 per cent, it is not good compared to the 19 per cent fund. In addition, the fund manager is largely responsible for the fund’s returns. So when investing money, check the fund manager record of that scheme. Another important point is that a good return often comes with a huge risk. Therefore, look at the risk-return features of the scheme.