Published: 23rd July 2024

It’s absolutely possible to become a crorepati in 10 years

By: Value Research

Introducing SIPs

This is not a marketing gimmick. Systematic investment plans (SIPs) help you invest a fixed amount at regular intervals, usually monthly, to build a Rs 1 crore corpus.

How? We give you proof

If your investment grows 12% annually over 10 years, you’d need to start a monthly SIP of Rs 44,700 to build Rs 1 crore. If your investment returns 10% annually over 10 years, you need to start a monthly SIP of Rs 49,700.

Which fund type to invest in?

If you are a beginner, you can look to start your SIP in an aggressive hybrid fund. If you have some experience in equity investing, we suggest looking at diversified mutual funds such as flexi-cap funds and multi-cap funds.

Is the SIP amount on the higher side?

Worry not. You can start your SIP journey with Rs 20,400 each month, too. But you’ll need to increase your SIP amount 20% each year to touch the Rs 1 crore mark in 10 years. This is applicable if the investment grows 12% annually.

Get the full step-up SIP table

If increasing your SIP amount by 20% each year sounds unreasonable, we have prepared a table for 5%, 10% and 15% SIP step-ups, too. To view that table, we suggest you click below for the full story:

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