Calculate the future value of a monthly SIP in mutual funds. See total invested, estimated returns and maturity value instantly.
Results are estimates for learning and planning. Actual returns, rates and charges vary.
A Systematic Investment Plan (SIP) invests a fixed amount every month. Because each instalment compounds for a different length of time, the final value grows faster than simple addition suggests.
Formula: FV = P × [((1 + r)n − 1) ÷ r] × (1 + r), where P is the monthly amount, r is the monthly rate (annual rate ÷ 12 ÷ 100) and n is the number of months.
Equity mutual fund returns are not fixed. Use a conservative expected return and review your plan every year.
There is no fixed return. Many planners test 10–12% for diversified equity funds over long periods and also check a lower figure such as 8% to see the downside.
SIP spreads your purchases over time (rupee-cost averaging) and suits monthly income. Lumpsum can grow more if markets rise steadily, but carries higher timing risk.
