Hello there welcome to Getbusinessidea.com you may be a student or a housewife, working man and want to secure your future and looking for an option where you can keep your money and get returns. So we have simple options for you here we are going to discuss how mutual funds can be beneficial for you and how you can make money with it with this post “Mutual fund invest 10000 per month to make 1 crore in 18 years.”
As we all know when it comes to making investments we don’t know where we can invest it and book profit, so most of us choose to keep it on savings bank account; but do you know you are losing money to inflation by keeping it on bank saving account. That’s why it becomes essential to invest our money and here come mutual funds in a role.
Mutual Fund Invest 10000 Per Month to Make 1 Crore in 18 Years.
You might have 10000 rupees extra per month which you want to invest for safe and secure future and achieve your future goals like marriage, higher education, home, car, etc.
That is the common goal of peoples that’s why mutual funds and assets management have designed an option for peoples it called SIP’s (Systematic investment plans) where you can keep your money.
All you have to do is stay focused on your goals and make disciplined investments per month and compound interest will work for you.
Rule of 72
Do you know if an interest rate is 9%, PA then your money will get doubled in 8 years.
This formula is called ‘rule of 72’.
The “Rule of 72” is a simplified way to determine how long an investment will take to double, given a fixed annual rate of interest. By dividing 72 by the annual rate of return, investors can get a rough estimate of how many years it will take for the initial investment to duplicate itself.
So we want this compound interest to work in our favor not against us that’s why financial planners recommend not to take loans until you need it badly because then the compounding interest will work against you.
How to make 1 crore
So now we are going to see how mutual funds investment can make 1 crore for you; This investment plan will take time so starting early age when you are young is recommended.
This is how you can make 1 crore and more with SIPs:
There is thumb rule if you want to accumulate good amount and want good returns on your investments; then you should start investing when you are young and start early so compounding interest works in your favor.
Let’s take an example of a SIP.
We are assuming interest rate 15% per annum in an equity SIP so Investing 10,000 per month for 10 years would make your principal investment 12 lakh rs, the total expected amount will be nearly Rs 28 lakh!
And now here is where you can see the power of compounding interest.
27.9 lakh+ 10000 per month sip invested for 8 more years at 15% interest rate will become 1.1c crore.
and if you continue this sip investment you can have around 14.9 crores after 35 years total.
Disclaimer: This story is for informational purposes only and should not be taken as investment advice. And before investing money in any financial instrument, you should gather as much knowledge as you can.
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