By investing through Systematic Investment Plan (SIP) you can not only become a millionaire but can also deposit an amount of up to Rs 5 crore. SIP is a method with the help of which you can invest a fixed amount in Mutual Fund every month.
People often dream of becoming a millionaire and also wish to become a millionaire as soon as possible… However, this wish of yours can also be fulfilled if you plan systematically. Don’t be surprised, by investing systematically you can become a millionaire as soon as possible. Here we are going to tell about one such planning.
By investing through Systematic Investment Plan (SIP) you can not only become a millionaire but can also deposit an amount of up to Rs 5 crore. SIP is a method with the help of which you can invest a fixed amount in Mutual Fund every month. Compounding rate is available on the amount invested in mutual funds, which increases your invested amount rapidly. Besides, due to being market linked, mutual funds also generate higher returns. Due to which wealth increases rapidly.
You will get Rs 5 crore after depositing how much?
According to FundsIndia Research Report, if you start a SIP of Rs 50 thousand every month with 10 percent annual growth in contribution and you get at least 12 percent interest on it, then Rs 80 lakh will be accumulated in 7 years. However, Rs 80 lakh more will be deposited in the next 3 years. Whereas for the third Rs 80 lakh it will take 2 more years. In this way, within 10 years your fund will accumulate to Rs 1.60 crore, while by the 13th year it will accumulate to Rs 3.2 crore.
Similarly, if you continue to invest Rs 50 thousand every month with 10 percent annual growth, then by the 17th year at an estimated 12 percent interest, your total funds will be Rs 5.6 crore. However, it is not certain that your expected interest in mutual funds will be 12 percent. It can be more or less. Which will affect your money.
What will happen if there is no increase in 10% contribution?
If you do not increase your contribution by 10% on an annual basis, it will take a little more time to achieve the target of Rs 5 crore. It takes 8 years to deposit the first Rs 80 lakh. After that, it takes 4 years to deposit the next Rs 80 lakh and 3 years to deposit the third Rs 80 lakh. The situation will be that it may take 21 years for you to earn an amount of up to Rs 5.6 crore.
(Note- Before making any kind of investment in mutual fund, you must take advice from market expert.)
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