Best SIP Plans for 5 Years Investment 2025
Systematic Investment Plans (SIPs) are one of the most efficient and
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SIP Plan Benefits
Start SIP with as low as ₹1000
No hidden charges
Save upto ₹46,800 in Taxunder section 80C^
Zero LTCG Tax¶
Disciplined & worry-free investing
Best SIP Plans in Equity Funds for 5 Years
| Mutual Fund Name |
5 Year Returns |
| SBI PSU Direct Plan-Growth |
33.85% |
| Motilal Oswal Midcap Fund Direct-Growth |
40.11% |
| Aditya Birla Sun Life PSU Equity Fund Direct-Growth |
36.28% |
| ICICI Prudential Infrastructure Direct-Growth |
40.92% |
| Invesco India PSU Equity Fund Direct-Growth |
32.02% |
| HDFC Infrastructure Direct Plan-Growth |
38.51% |
| Nippon India Power & Infra Fund Direct-Growth |
37.42% |
| Bandhan ELSS Tax Saver Fund Direct Plan Growth |
30.42% |
| Franklin Build India Direct Fund Growth |
37.67% |
| Bandhan Infrastructure Fund Direct Plan Growth |
38.74% |
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SBI PSU Direct Plan-Growth:
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SBI PSU Direct Plan-Growth mutual fund invests primarily in equity and equity-related instruments of Public Sector Undertakings (PSUs).
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Aims to provide long-term growth by capitalizing on the potential of Indian PSUs.
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Suitable for investors with a moderate-to-high-risk appetite and a long-term investment horizon.
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Motilal Oswal Midcap Fund Direct-Growth:
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Focuses on investing in mid-sized companies with strong fundamentals and growth potential.
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Seeks to generate superior returns by capitalizing on the growth opportunities in the midcap segment.
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Involves higher risk compared to large-cap funds but also offers the potential for higher returns.
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Aditya Birla Sun Life PSU Equity Fund Direct-Growth:
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Aditya Birla Sun Life PSU Equity Fund Direct-Growth mutual fund invests predominantly in equity and equity-related instruments of Public Sector Undertakings (PSUs).
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Seeks to provide long-term capital appreciation by capitalizing on the growth prospects of PSUs.
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Suitable for investors with a moderate-to-high-risk appetite and a long-term investment horizon.
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ICICI Prudential Infrastructure Direct-Growth:
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Invests in companies operating in the infrastructure sector, such as construction, power, transportation, and telecom.
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Aims to capitalize on the growth potential of the Indian infrastructure sector.
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It is a high-risk mutual fund due to the cyclical nature of the infrastructure sector.
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Invesco India PSU Equity Fund Direct-Growth:
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Invests primarily in equity and equity-related instruments of Public Sector Undertakings (PSUs).
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This mutual fund seeks to provide long-term capital appreciation by capitalizing on the growth prospects of PSUs.
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Those looking for growth over an extended period and who are prepared to accept moderate to significant risk should consider this.
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HDFC Infrastructure Direct Plan-Growth:
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Invests in companies operating in the infrastructure sector, such as construction, power, transportation, and telecom.
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Aims to capitalize on the growth potential of the Indian infrastructure sector.
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Involves higher risk due to the cyclical nature of the infrastructure sector.
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Nippon India Power & Infra Fund Direct-Growth:
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Bandhan ELSS Tax Saver Fund Direct Plan Growth:
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An Equity Linked Savings Scheme (ELSS) that offers tax benefits under Section 80C of the Income Tax Act.
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Invests primarily in equities and equity-related instruments.
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This ELSS mutual fund offers tax benefits along with the potential for long-term capital appreciation.
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Franklin Build India Direct Fund Growth:
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Focuses on investing in companies that contribute to India's growth and development.
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Seeks to generate long-term capital appreciation by investing in companies across various sectors.
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Involves moderate-to-high risk and is suitable for investors with a long-term investment horizon.
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Bandhan Infrastructure Fund Direct Plan Growth:
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Invests in companies operating in the infrastructure sector, such as construction, power, transportation, and telecom.
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Aims to capitalize on the growth potential of the Indian infrastructure sector.
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Involves higher risk due to the cyclical nature of the infrastructure sector.
- Insurance Companies
- Mutual Funds
|
Returns |
| Fund Name |
5 Years |
7 Years |
10 Years |
| Max Life |
27.23% |
21.07% |
|
| Tata AIA |
30.99% |
21.69% |
|
| Bajaj Allianz |
24.23% |
12.8% |
|
| HDFC Standard |
25.77% |
14.87% |
|
| Canara HSBC Oriental Bank |
17.51% |
10.29% |
|
| Bharti AXA |
23.03% |
15.02% |
|
| Birla Sun Life |
26.67% |
14.18% |
|
| ICICI Prudential |
22.68% |
13.38% |
|
| LIC |
- |
- |
|
| PNB Metlife |
24% |
16.86% |
|
Fund rating powered by
Last updated: May 2025
| |
Returns |
| Fund Name |
3 Years |
5 Years |
10 Years |
| QUANT |
23.92% |
31.48% |
|
| PARAG PARIKH |
20.69% |
26.41% |
|
| EDELWEISS |
22.34% |
24.29% |
|
| KOTAK |
24.64% |
25.01% |
|
| MIRAE ASSET |
19.74% |
24.32% |
|
| PGIM INDIA |
14.75% |
23.39% |
|
| DSP |
18.41% |
22.33% |
|
| CANARA ROBECO |
20.05% |
21.80% |
|
| SUNDARAM |
18.27% |
18.22% |
|
Best SIP for 5 Years in Debt Funds
| Mutual Fund Name |
5 Year Returns |
| Quant Liquid Direct Fund Growth |
5.88% |
| Aditya Birla Sun Life Medium Term Plan Direct-Growth |
14.32% |
| Bank of India Short-Term Income Fund Direct-Growth |
10.71% |
| Mirae Asset Low Duration Fund Direct-Growth |
6.37% |
| Nippon India Credit Risk Fund Direct-Growth |
9.40% |
| UTI Dynamic Bond Fund Direct-Growth |
9.52% |
| HDFC Regular Savings Fund Direct-Growth |
8.94% |
| ICICI Prudential Dynamic Bond Direct Plan-Growth |
8.21% |
| UTI Banking & PSU Fund Direct-Growth |
7.41% |
| Invesco India Credit Risk Fund Direct-Growth |
8.25% |
SIP Calculator
Monthly Investment
₹22.4 L
Top Funds with High Returns (Past 7 Years)
18.4%
High Growth Fund
17.46%
Top 200 Fund
14.57%
Accelerator Mid-Cap Fund II
14.81%
Opportunities Fund
10.58%
Growth Plus Fund
13.35%
Accelerator Fund
14.61%
Growth Opportunities Plus Fund
15.6%
Multiplier
11.48%
Equity Top 250 Fund
13.31%
Future Apex Fund
12.32%
Opportunities Fund
14.24%
Frontline Equity Fund
15.03%
Virtue II
10.88%
Pension Dynamic Equity Fund
11.8%
Equity Fund
10.32%
Blue-Chip Equity Fund
Best SIP Plans in Debt Funds for 5-Year
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Quant Liquid Direct Fund Growth
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Low-risk, short-term debt fund.
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Aims for capital preservation and steady returns.
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Suitable for parking surplus funds or emergency corpus.
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Aditya Birla Sun Life Medium Term Plan Direct-Growth
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Moderately risky debt fund with a focus on medium-term bonds.
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Seeks to generate higher returns than short-term debt mutual funds.
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Suitable for investors with a moderate risk appetite and investment horizon of 3-5 years.
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Bank of India Short-Term Income Fund Direct-Growth
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Low-risk debt fund investing in short-term debt instruments.
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Provides relatively stable returns with lower volatility.
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Suitable for investors seeking capital preservation and regular income.
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Mirae Asset Low Duration Fund Direct-Growth
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Low-risk debt mutual fund investing in short-term debt instruments.
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Aims to provide stable returns with lower volatility.
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Suitable for investors seeking capital preservation and regular income.
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Nippon India Credit Risk Fund Direct-Growth
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Moderately risky debt fund investing in corporate bonds.
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Seeks to generate higher returns than traditional debt funds.
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Investors who can accept some risk and have a medium-term investment timeframe of 3 to 5 years would find this suitable.
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UTI Dynamic Bond Fund Direct-Growth
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Flexibly managed debt mutual fund that can invest across various maturities.
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Seeks to generate consistent returns across market cycles.
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Suitable for investors with a moderate risk appetite and a long-term investment horizon.
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HDFC Regular Savings Fund Direct-Growth
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Hybrid mutual fund that invests in a mix of equity and debt instruments.
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Provides a blend of growth and stability.
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Suitable for investors seeking a balanced approach to investing.
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ICICI Prudential Dynamic Bond Direct Plan-Growth
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Flexibly managed debt fund that can invest across various maturities.
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Seeks to generate consistent returns across market cycles.
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For investors seeking balanced risk and long-term growth, this option is appropriate.
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UTI Banking & PSU Fund Direct-Growth
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Debt mutual fund specializing in bonds issued by banks and public sector undertakings.
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Offers relatively stable returns with lower credit risk.
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Suitable for investors seeking a mix of safety and moderate returns.
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Invesco India Credit Risk Fund Direct-Growth
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Moderately risk debt mutual fund investing in corporate bonds.
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Seeks to generate higher returns than traditional debt funds.
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Designed for investors who can handle some risk and have a medium-term investment timeframe of 3 to 5 years.
Benefits of Investing in SIP for 5 Years
Investing in a SIP for 5 years offers several key advantages:
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Power of Compounding:
Even small monthly investments can grow significantly over a 5 year period thanks to the power of compounding.
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Rupee Cost Averaging:
SIP for 5 years allows you to buy more units during market dips and fewer during highs, averaging the cost.
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Disciplined Investing:
Regular monthly investments in the best SIP for 5 years reduce emotional decisions and build investment discipline.
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Achieve Financial Goals:
Whether it’s a down payment for a home or building a corpus for education, SIP for 5 years is a reasonable choice to achieve mid-term goals.
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Inflation-Beating Returns:
Especially with equity SIPs, the returns over 5 years often surpass inflation rates, helping maintain purchasing power.
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Low Barrier to Entry:
You can start with as low as ₹500 per month and scale up as your income grows.
If you're thinking which SIP is best for 5 years click below to explore
Why Choose the Best SIP Plan for 5 Years Investments?
Here are some reasons why choosing the best SIP plans for 5-year investments can be a smart strategy:
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Power of Compounding:
Over a 5-year timeframe, the power of compounding can significantly boost your returns. Regular investments through SIPs allow you to benefit from this effect as your returns earn further returns.
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Rupee Cost Averaging:
SIPs help you implement rupee cost averaging, which means you invest a fixed amount at regular intervals. This strategy helps you buy more units when the market is down and fewer units when it's high, potentially lowering your overall average cost.
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Disciplined Investing:
SIPs encourage disciplined investing by automating your mutual fund investments. This helps you stay on track with your investment goals and avoid missing out on market opportunities.
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Long-Term Wealth Creation:
A best SIP for 5 years investment horizon aligns well with the long-term growth potential of equity markets. By staying invested for the long term, you can potentially ride out market fluctuations and achieve significant wealth creation.
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Inflation-Beating Returns:
Equity investments, through SIPs, have the potential to generate returns that outpace inflation over the long term, helping you maintain your purchasing power.
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Goal-Based Investing:
SIPs can be a valuable tool for achieving specific financial goals, such as buying a house, funding your child's education, or planning for retirement. By choosing the right SIP mutual fund plans and investing consistently, you can increase your chances of achieving your goals.
Conclusion
Choosing the best SIP plans for 5 years investments requires careful consideration of various factors, including risk tolerance, investment objectives, and the specific characteristics of different mutual fund schemes. By conducting thorough research, diversifying their portfolio across asset classes, and maintaining a long-term perspective, investors can effectively utilize SIPs to build wealth and achieve their financial aspirations over a 5-year timeframe. Remember that investing involves risks, and past performance is not indicative of future results.
FAQs
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How do I choose the best SIP for 5 years?
When selecting the best SIP for a 5-year investment, consider the following factors:
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Your risk appetite (higher returns often come with higher risk)
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Investment goal (wealth creation, tax saving, etc.)
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Fund performance over the last 3-5 years
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Expense ratio and fund manager track record
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Liquidity and exit load of the fund
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What are the benefits of investing in a SIP for 5 years?
Investing in a SIP for 5 years allows you to benefit from rupee cost averaging, compounding, and disciplined investing. It helps mitigate market volatility and can lead to substantial wealth accumulation over time, especially in well-performing equity funds.
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Can I withdraw my SIP investment before 5 years?
Yes, most open-ended mutual funds allow you to redeem your SIP investments before 5 years. However, some funds may have exit loads or tax implications if withdrawn early, especially in the case of ELSS (tax-saving) funds which have a 3-year lock-in period.
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What is the minimum amount required to start a SIP for 5 years?
Many top SIP funds allow you to start with a minimum monthly investment of ₹100 to ₹1,000, making it accessible for most investors.
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Is SIP in equity funds better than debt funds for 5 years?
Equity funds typically offer higher returns than debt funds over 5 years but come with greater risk and volatility. Debt funds provide more stability and lower risk but may not match the long-term growth potential of equities.
