Are mid-cap or small-cap funds suitable for a 10-year SIP?

Mid-cap and small-cap funds have the potential for higher returns over a decade but come with higher volatility. For investors with higher risk tolerance and a long-term horizon these funds can be considered.

Which type of mutual fund is suitable for a 10-year SIP?

Equity mutual funds are generally suitable for long-term SIPs. You can consider large-cap, flexi-cap, or ELSS (if you want tax benefits under 80C).

Can I change my SIP plan midway in 10 years?

Yes, you can stop or switch your SIP anytime. However, long-term consistency is key to achieving better returns.

Is SIP better than lump sum for 10 years?

SIP is often preferred as it averages out the cost through rupee cost averaging and builds investment discipline over time.

Best SIP Plan for 10 Years

The best SIP plan for 10 years helps investors build long-term wealth through disciplined, regular investments. By investing consistently, you benefit from rupee cost averaging and compounding, reducing the impact of market volatility. Choosing SIPs with strong past performance and a diversified portfolio can maximize returns while aligning with your risk appetite and financial goals, making it an ideal strategy for future financial security.

Best SIPs to Invest in for 10 Years

Below are the details of the best SIP to invest for 10 years:

Fund Name	5 Years	7 Years	10 Years
Nippon India Small Cap Fund Direct-Growth	19.41%	27.47%	21.85%
Quant Infrastructure Fund Direct-Growth	19.72%	27.69%	21.45%
Quant Small Cap Fund Direct Plan-Growth	18.57%	34.18%	20.82%
Quant ELSS Tax Saver Fund Direct-Growth	15.74%	26.65%	20.49%
Invesco India Mid Cap Fund Direct-Growth	20.91%	25.93%	20.35%
Quant Flexi Cap Fund Direct-Growth	15.44%	25.93%	20.24%
Bank of India Manufacturing & Infrastructure Fund Direct-Growth	21.84%	26.84%	19.82%
Axis Small Cap Fund Direct-Growth	16.95%	24.43%	19.81%
Edelweiss Mid Cap Direct Plan-Growth	19.5%	25.88%	19.78%
Invesco India Infrastructure Fund Direct-Growth	20.28%	24.54%	19.68%
Nippon India Growth Mid Cap Fund Direct-Growth	19.8%	24.61%	19.18%
SBI Small Cap Fund Direct-Growth	14.29%	22.16%	19.15%
Quant Multi Asset Allocation Fund Direct-Growth	19.54%	25.49%	19.02%
DSP US Specific Equity Omni FoF Direct-Growth	18.46%	21.11%	18.77%
Quant Mid Cap Fund Direct-Growth	16.53%	25.86%	18.72%

Updated as of 12 August 2026

How Does SIP for 10 Years Work?

Let's illustrate how SIP works with a simple example. Suppose you invest ₹10,000 monthly in a mutual fund for 10 years. Assume an average annual return of 12% (for illustrative purposes only - actual returns may vary).

We can use an SIP calculator to estimate the final amount. Here's a simplified way to understand the concept:

Year 1: You invest ₹1,20,000 (₹10,000 x 12 months). At a 12% return, your investment grows to approximately ₹1,34,400.
Year 2: You invest another ₹1,20,000, and your existing investment also grows. The combined amount now earns interest.
This process continues for 10 years.

The power of compounding comes into play as your earnings from previous years also generate returns in subsequent years. Over 10 years, even with a consistent monthly investment, the final corpus can be significantly larger than the total amount invested due to compounding.

SIP Calculator

I know my investment amount I know my goal amount

Monthly SIP Yearly SIP Lumpsum

I want to invest Pro Tip

Financial experts suggest that a person should invest 10-15% of their monthly income for long-term financial growth

/Month

I want to invest for Pro Tip

Financial experts suggest that individuals should ideally invest for a period of 5 to 10 years, or even longer, to maximize the benefits of compounding and navigate market fluctuations effectively

Years

Expected return Pro Tip

Top 25% of investors consistently generate more than 12% return

% Annually

Total Wealth ₹1.03 Cr

Start Investing

I want to save