SIP: In how many years will a fund of Rs 5 crore be raised through SIP, how much will have to be invested every month?

In today's time, when someone invests in Mutual Funds through SIP, he does it with the thought that he will earn huge profits from it. If the right fund is chosen with the right strategy, then you can also raise funds worth crores through SIP. However, to raise crores of rupees, SIP needs to be run for a long time. If your goal is big and you want to achieve it in a short time, then you will have to invest a lot of money. On the other hand, if you have patience and keep investing for a long time, then you will have to invest less money and you will also achieve your goals. Here know how much investment will have to be made to raise a fund of 5 crores in 20, 25, 30, or 35 years.

To raise 5 crores in 20 years
If you want to raise 5 crores in 20 years, then you will have to invest Rs 55,000 every month. This is not a difficult task for those who earn big money. The average return of SIP is considered to be 12%. In this case, you will invest a total of Rs 1,32,00,000 in 20 years, at the rate of 12% you will get Rs 3,73,92,155 as interest and in 20 years you will become the owner of Rs 5,05,92,155.

To add 5 crores in 25 years

If you want to add 5 crores in 25 years, then you will have to invest Rs 30,000 every month. In this case, you will invest a total of Rs 90,00,000 in 25 years, at the rate of 12% you will get Rs 4,20,66,197 as interest and in 25 years you will add Rs 5,10,66,197.

To add 5 crores in 30 years

If you want to add a fund of Rs 5 crores in 30 years, then you will have to invest Rs 17,000 every month. In this case, you will invest a total of Rs 61,20,000 in 30 years, at the rate of 12% you will get Rs 4,62,56,545 as interest and in 30 years you will have Rs 5,23,76,545.

To add 5 crores in 35 years

If you want to add 5 crores in 35 years, then you will have to invest Rs 9,500 every month. In this case, you will invest a total of Rs 39,90,000 in 35 years, at the rate of 12% you will get Rs 4,83,62,896 as interest and in 35 years you will add Rs 5,23,52,896.

To add 5 crores in 40 years
If you have a little patience and you start SIP from a young age, then you can continue SIP for 40 years and can add a fund of 5 crores by investing very little money. In this case, you will have to invest only 5,200 rupees every month. You will invest a total of 24,96,000 rupees in 40 years, at the rate of 12% you will get 4,84,27,969 rupees as interest, and in 40 years you will own 5,09,23,969 rupees.

Keep this in mind
SIP is a market-linked scheme, there is a risk of fluctuations in it. However, in long-term SIP, you get the benefit of rupee cost averaging, along with the tremendous benefit of compounding, due to which your money grows rapidly. This is the reason why financial experts always say that the longer the SIP, the bigger the profit. But this scheme is market-based, so returns are not guaranteed. Here the calculation has been done based on an average return of 12%. It can be more or less.

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