How to make 1 crore by SIP: Today, investing Rs 2000 per month is not a big deal. Even if you earn Rs 20,000 per month, you can invest Rs 1,000 out of it in a place where you can get huge returns with little risk.
Most of the people argue that nothing can be achieved by investing Rs 1000-2000, hence they are not investing. Because they are left with only Rs 1000-2000 every month. But this is just an excuse. The truth is that big financial goals can be achieved by starting with a small amount of investment.
In fact, for safe investment, make FD in bank and post office. But you will not be able to achieve any big financial goal from the returns received from this. At the same time, big money can be made from Mutual Funds by taking a little risk. Today everyone can easily save Rs 1000 per month. One can become a millionaire by investing only a thousand rupees.
The strategy should be that if you are in a position to invest Rs 5000 then do SIP of Rs 2 thousand per month. Today, investing Rs 2000 per month is not a big deal. Even if you earn Rs 20,000 per month, you can invest Rs 1,000 out of it in a place where you can get huge returns with little risk.
By investing Rs 1000 per month in bank and post office for 20 years, you are not going to get Rs 31 lakh. Because during 20 years, you will deposit only Rs 2.40 lakh per thousand rupees per month. But if you invest Rs 1000 every month in mutual funds, you can earn big money. Mutual funds have given excellent returns in the last two decades. Some funds have given returns up to 20 percent.
Investment for up to 20 years
If you invest Rs 1000 per month in SIP for 20 years, and get 12% annual return on it, then you will get a total of Rs 9,99,148 (about Rs 10 lakh) after 20 years. In these 20 years you will have to deposit a total of Rs 2,40,000. If you get 15% return on this investment then you will get more than Rs 15 lakh (Rs 15,15,995). If we look at 20 percent return, then on a monthly investment of Rs 1000, a total of Rs 31,61,479 will be accumulated after 20 years.
Investment for up to 30 years
Whereas an investment of 30 years and 1000 months can give bumper returns. In such a situation, after 30 years on SIP of Rs 1000 per month, he will get a total of Rs 35,29,914 at the rate of 12 percent return. If you do SIP of Rs 3,000 per month, then after 30 years you will get around Rs 1.05 crore at 12% annual return.
At the same time, if you get a little more interest, that is, if you get a return of 15%, you will get a total of Rs 70 lakh on a monthly SIP of Rs 1000. Apart from this, there is also a possibility that if one gets 20 percent return on investment of Rs 1000 for 30 months, then after 30 months one will get a total of Rs 2,33,60,802 (more than Rs 2 crore). During this 30 years the investor will have to deposit only Rs 3 lakh 60.
Note: Before investing in mutual funds, take the help of a financial advisor.
