Variety of investment options are available for individuals in Mutual Funds, SIP is one of them which can give hire benefits after retirement.
A Systematic Investment Plan (SIP), which is also known as SIP, is a facility mutual funds offer to the investors to invest in a disciplined manner. In SIP a fixed amount of money will be deducted from the investors account and credited to the respective mutual funds scheme account. The minimum amount one can invest in any mutual fund scheme is Rs. 500, it can be invested on a weekly/monthly/quarterly/semi-annually or annual basis.
Mutual Fund SIP
Mutual fund (MF) gross inflows via SIP surpassed Rs 20,000 crore. Investors opened a record 6.4 million SIP accounts. Last month’s (April’s) account openings were about 50 per cent higher than March’s registrations.
KYC For Mutual Fund
As KYC rules for Mutual Funds have changed since April 1, 2024, it has become mandatory to get KYC done through Aadhaar and PAN. If the MF investor has done KYC using an Aadhaar card and PAN card, then his KYC status will be Validated. Only people with validated status can invest in all mutual funds.
SIP Calculation For Rs 3.5 Corpus (According To Zee Business Expert)
If you start investing at the age of 20 and you decide to invest Rs 1,000 per month, check how much you can get as a retirement corpus as per current market situation.
If we assume an average rate of return of a 12 per cent rate, a Rs 1,000 SIP may earn you Rs 1,14,00,000. This demonstrates the power of compounding.
If you want to earn more, you need to raise your SIP by 10 per cent each year, if you succeed doing it, this SIP after 40 years can generate a corpus of Rs 3.5 crore.
(Disclaimer: Mutual Fund Investments Are Subject To Market Risks. The above article is meant for informational purposes only, and should not be considered as any investment advice.)