Examples of 5000 SIP for 10 Years
These examples illustrate how SIPs can help individuals achieve diverse financial objectives, whether it's funding higher education, planning for a dream vacation, or building an emergency fund. By tailoring investments to their risk appetite and time horizon, individuals like Rohan, Neha, and Vikram can turn their financial aspirations into reality.
Example 1: Large-Cap Fund
Rohan, a 28-year-old software engineer, aims to build a corpus for his daughter's higher education. He chooses a large-cap fund, known for stability and consistent returns, with an expected 10% annual return.
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Monthly SIP Amount: ₹5,000
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Investment Period: 10 years
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Fund Type: Large Cap
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Annualised Returns: 10% CAGR
Scenario:
By using an SIP calculator, we will get:
By the time his daughter reaches college age (38), his investment grows to approximately ₹9.28 lakhs. This corpus can significantly contribute to her higher education expenses.
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Investment: ₹6L
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Returns: ₹4.07L
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Total Corpus: ₹10.1L
Example 2: Mid-Cap Fund
Neha, a 35-year-old entrepreneur, is looking to expand her business. She invests in a mid-cap fund, balancing growth potential with moderate risk, with an expected 12% annual return.
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Monthly SIP Amount: ₹5,000
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Investment Period: 10 years
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Fund Type: Mid Cap
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Annualised Returns: 12% CAGR
Scenario:
By using an SIP calculator, we will get:
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Investment: ₹6L
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Returns: ₹5.28L
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Total Corpus: ₹11.2L
Example 3: Small-Cap Fund
Vikram, a 25-year-old aspiring investor, is willing to take on higher risks for potentially greater rewards. He invests in a small-cap fund, aiming for long-term capital appreciation with an expected annual return of 15%.
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Monthly SIP Amount: ₹5,000
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Investment Period: 10 years
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Fund Type: Small Cap
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Annualised Returns: 15% CAGR
Scenario:
By using an SIP calculator, we will get:
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Investment: ₹6L
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Returns: ₹7.15L
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Total Corpus: ₹13.2L
SIP Calculator
Monthly Investment
₹22.4 L
Top Funds with High Returns (Past 7 Years)
18.6%
High Growth Fund
18.2%
Top 200 Fund
14.21%
Accelerator Mid-Cap Fund II
14.24%
Opportunities Fund
10%
Equity II Fund
13.03%
Accelerator Fund
14.09%
Growth Opportunities Plus Fund
14.82%
Multiplier
11%
Equity Top 250 Fund
13.01%
Future Apex Fund
12.05%
Opportunities Fund
13.71%
Frontline Equity Fund
14.68%
Virtue II
10.72%
Pension Dynamic Equity Fund
11.76%
Equity Pension
9.89%
Blue-Chip Equity Fund
Why Should You Start Investing Today?
The power of compounding with SIPs lies in their simplicity, flexibility, and the potential to grow your wealth consistently over time. Starting today, even with a modest monthly amount like ₹5,000, can help you achieve your long-term financial aspirations. The earlier you begin, the more time your investments have to compound, maximizing returns and mitigating the impact of market fluctuations.
