SIP Tricks: It’s crucial to manage your time if you want to invest in mutual funds using SIP and make a profit (Systematic Investment Plan). Despite market volatility, if one continues to invest a predetermined amount each month, his mutual fund’s net asset value will continue to rise. Please share any unique SIP investment strategies with us.
SIP Tactics: If you are aware of the SIP in Mutual Funds tricks, becoming a billionaire would happen quickly. If you use the unique technique described here, you may invest for 30 years and receive a return of more than 10 crores. You must use these three popular mutual fund formulae in order to do this. Let’s learn these equations.
One thing to bear in mind when making a SIP (Systematic Investment Plan) investment in mutual funds is that time is a significant factor. Despite market volatility, if a person maintains a constant monthly investment, his mutual fund’s net asset value will continue to rise. You may therefore amass a sizable sum of money in this manner.
1. First Formula of Investment
There are unique algorithms for investing in mutual funds, according to investment expert Balwant. 151515 is the first formula. A person will have a corpus of around Rs. 1.02 crore if they invest Rs. 15,000 per month for 15 years at a 15% return. This strategy will enable you to get wealthy soon.
2. Second Formula of Investment
151530 is the second investing formula. According to this method, a person will receive Rs. 10.51 crore if they invest 15,000 rupees each month for 30 years at a 15% return. He will put in Rs. 54 lakh during this time, and the return will rise to Rs. 9.97 crore.
Always keep in mind that a person will earn more from mutual funds if he participates in more SIPs over a longer period of time. However, each individual should generate revenue by making such investments in accordance with his or her convenience, time horizon, and income.
3. Delay of five years can cause big loss
It also has a significant influence if a person begins investing when they are 30 years old. Let’s use math to comprehend this.
Assume that the investor is 30 years old when the investment is first made. For 25 years, the investor makes a monthly investment of Rs 5000. In this case, assuming an annual return of 12 percent, he receives a total of Rs 84,31,033 when the investment matures. This investor will be 55 years old at this point.
The full term would have been 30 years if the investor had begun SIP investments at the age of 25. In other words, the investment would have been made for 30 years rather than 25. The previous 10 years’ worth of data show that SIPs have provided an average return of 15%. However, if we consider this situation also in light of an average return of 12%, at maturity he would receive a total sum of Rs 1,52,60,066.
However, if this investor had started investing at age 25, he would have received Rs 68 lakh (Rs 68,29,033), which he would not have received if he had begun investing at age 30.
Top 10 Year Mutual Funds on Refund Basis and their Returns
1. SBI Small Cap Mutual Fund : 20.04 percent
2. Nippon India Small Cap Mutual Fund Scheme : 18.14 percent
3. Invesco India Midcap Mutual Fund Scheme : 16.54 percent
4. Kotak Emerging Equity Mutual Fund Scheme : 15.95 percent
5. DSP Midcap Mutual Fund Scheme: 15.27 percent
Also read – Best EV Stocks in India 2023
Returns from SIP Mutual Funds
Such mutual funds offer considerably higher returns over a period of 5 years. The average rate of return for the best mutual funds with SIP ranges between 20 – 28% over 5 years. Mentioned below are such mutual funds along with their 5 year returns.
| Fund Name | Average 5 Years Return |
| Edelweiss Flexi Cap Fund | 17.83% |
| Canara Robeco Flexi Cap Fund | 19.86% |
| UTI Flexi Cap Fund | 21.34% |
| Parag Parikh Flexi Cap Fund | 22.89% |
| PGIM India Flexi Cap Fund | 21.89% |
(Disclaimer: Before making any kind of investment, consult experts. businessleague.in does not advise you for any kind of investment.)
