How many monthly SIPs are required to accumulate a corpus of ₹5 crore in 25 years?

Santosh Navalani, COO, ET Money

to deposit funds of 5 crores in 25 years, remember a simple formula – 25-12-25. All you need to do is start an SIP of Rs 25,000 for 25 years. If your return is 12%, you’ll be closer to 50 million. In this way you will make a corpus of 4.74 crores, to be exact. what to do if you want a 5 crore corpus after paying all taxes? then you need a sip 29,200.

Since this is a long-term investment, investors should adopt a portfolio approach to achieve this goal. They should invest in equity, debt and gold. Using asset allocation and rebalancing at least once a year helps reduce portfolio volatility. Most investors focus only on numbers and calculators. But in such a long investment journey, low risk is more important than chasing returns. If you stay in the market, you will accumulate wealth. But most of the investors do not stay invested.

Let’s say you make 11% return instead of 12%. In this case, you would need to stay invested for 27 years to accumulate to the target 5 crore corpus. However, if you stop investing, you will be a long way from this goal. At every sharp fall in the market, investors succumb to fear and stop their SIPs. That’s why most of the investors do not reach their goals.

When you reduce risk through asset allocation, your portfolio does not fall as much as the market during corrections, thus giving you the confidence to stay invested for the long term. Another important factor is increasing your SIP every year as your income increases. It helps you to reach your goal faster. if your You can deposit 25,000 SIP by increasing 10% every year 5.5 crores in just 21 years.

Gautam Kalia, Senior VP and Super Investor, Sharekhan by BNP Paribas

You would need a total SIP of Rs 26,600 per month to build a corpus of Rs 5 crore over the next 25 years and if you are okay with increasing the SIP amount by 10% every year, the same goal of Rs 5 crore can be achieved Get it in the first year in just Rs 12,500 per month SIP amount.

S Ravi Promoter & Managing Partner, Ravi Rajan & Co. LLP

Setting financial goals is important to ensure that you have a clear vision of what you want to achieve. It helps in building a disciplined approach towards investment and inculcates the habit of saving regularly.

Monthly SIP is a great way to accumulate wealth over the long term. It is a systematic and disciplined approach towards investing which helps in cost averaging of investments over a period of time.

to deposit funds of 5 Crore in 25 years, it is important to choose the right mutual fund that has a track record of consistent performance. It is advised to diversify the portfolio across different asset classes and investment styles to reduce the risk. One can evaluate the offerings of several financial institutions before deciding where to invest.

Some mutual funds that can be considered investing in monthly SIPs to build up a corpus 5 Crore in 25 Years Mirae Asset Large Cap Fund, Axis Long Term Equity Fund, Kotak Emerging Equity Fund and HDFC Small Cap Fund. These funds have a track record of consistent performance and are managed by experienced fund managers.

Suman Banerjee, CIO, Hedonova

Monthly SIP requires a corpus deposit 5 cr in 25 years depending on the expected rate of return. Assuming an annualized rate of return of 12%, the monthly SIP required would be approximately 53,300. Investors should consult a financial advisor to determine the appropriate asset allocation and mutual funds in line with their investment objectives.

Some mutual funds that investors can consider for long-term investments include:

1. Large-cap Equity Funds like Axis Bluechip Fund, ICICI Prudential Bluechip Fund and SBI Bluechip Fund.

2. Mid-Cap Equity Funds like HDFC Mid-Cap Opportunities Fund, Kotak Emerging Equity Fund and ICICI Prudential Midcap Fund.

3. Diversified Equity Funds like Mirae Asset India Equity Fund, Aditya Birla Sun Life Equity Fund

It is important to remember that past performance is not indicative of future returns, and investors should always consult a financial advisor before making any investment decisions.

Amit Gupta, MD, SAG Infotech

To deposit a fund of Rs. 5 Crore in 25 years through SIP, you need to have a disciplined approach to invest a substantial amount every month. Monthly SIP amount required to deposit Rs. 5 crore depends on various factors such as your risk appetite, investment tenure, expected returns and inflation rate. Assuming a moderate annual return of 12% (historical average for equity mutual funds) and an inflation rate of 6%.

We can find that you will get around Rs. investment is required. 55,000 per month for a corpus of Rs. 5 Crore in 25 Years Here are some mutual fund suggestions that you can consider for long term wealth creation:

1. Mirae Asset Large Cap Fund

2. Axis Bluechip Fund

3. SBI Focused Equity Fund

4. ICICI Prudential Equity & Debt Fund

5. Kotak Standard Multicap Fund

Please note that these are suggestions only, and you should do your own research before making any investment decision. Additionally, past performance is not indicative of future results. It is also important to understand that investing in mutual funds involves risk and you should consult a financial advisor before making any investment decision.

Ujjwal Pahwa, Content Creator – Finance, CS

You need monthly SIP A corpus of Rs 31,250 to reach 5 crores at 12% in 25 years

You need monthly SIP 19,850 Rs. @ 15% (Equity Mutual Funds – Mainly Mid & Small Cap) to reach a corpus of 5 Crores in 25 years.

You need monthly SIP 42,360 @ 10% Conservative Hybrid Fund) in 25 years to reach ta corpus of 5 cr.

Some Mutual Funds:

1. Nippon India Growth Fund (Very Risky – CAGR 20% since inception)

2. ICICI Pru Equity and Debt Fund (Hybrid Fund)

3. Quant Tax Saver Fund and Mirae Asset Tax Saver Fund

4. ICICI Pru US Bluechip Fund (For US Equity Investment)