By MFJ Team
If you invest Rs 1000 per month in terms of SIP, You can make a good return in the long term let's see how much.
You can enjoy your retirement life at an early age if you start at a young age.
If you started investing Rs 1000 per month, you would get Rs 35,29,914 after 30 years where you had invested Rs 3.6 lakh.
According to 12% annual compounding interest, Rs 35,29,914 is added, it may be more.
You can get 12% to 30% interest annually in equity mutual funds. If you have chosen the right mutual fund scheme.
For example, if you have invested in a large cap mutual fund, then at the rate of 15% you will get Rs 70,09,821.
However, it is not possible to generate high returns in large caps because these mutual funds are very safe and generate low returns.
If you want high returns with low risk then you should invest in mid cap mutual funds, at 18% you will get ₹ 1,43,25,289 after 30 years.
Large cap
Mid Cap
MultiCap
Small Cap
If you have invested in a small-cap mutual fund then you can get returns as high as 30% which is a rare chance but you get at least 20 to 22%.
Yes, small cap mutual funds give higher returns, but they are also quite risky, at the rate of 25% you will get Rs 8.19 crore by depositing only Rs 3.6 lakh.
No financial advisor will advise you to invest only in small cap mutual funds.