Investment in Mutual Funds Can Start from Rs 100 a Month
Investing in mutual funds is a great way to grow your wealth over time. However, many people believe that they need a lot of money to invest in mutual funds. This is not true. In fact, you can start investing in mutual funds with as little as Rs 100 a month.
SIP of Rs 100 a Month
Many mutual fund schemes allow you to start a Systematic Investment Plan (SIP) of Rs 100 a month. This is commonly known as a Micro SIP. However, not all mutual fund schemes offer this facility. If you want to invest through SIP, then you can start with a SIP of Rs 500 per month in any mutual fund scheme. SIP is similar to Recurring Deposit (RD) in banks.
Lump Sum Investment
If you want to invest in lump sum mutual funds, then you must have at least Rs 5000. A small amount is required to invest in mutual funds at one go. Whether you invest in lump sum or through SIP, you can run your investment for any number of days. You can deposit money in SIP as long as you want. After depositing lump sum money, you can deposit more money in this scheme whenever you want.
Withdrawal
There is no time limit for withdrawal after investing in mutual funds. You can withdraw this investment whenever you want. Even if you do not make any further deposits after the lump sum investment, this investment can remain as long as you wish. Similarly, even if the SIP is closed, you can continue this investment as long as you want.
Fund of Rs 1 Lakh
If you invest Rs 100 every month in Micro SIP, then Rs 1200 will be deposited in 1 year. If this investment is continued for 25 years, a fund of Rs 1 lakh will be created. It is assumed here that the mutual fund scheme will give an average return of 12% every year.
Investing in mutual funds is a smart way to grow your wealth. You can start with a small investment of Rs 100 a month through Micro SIP. With time, your investment can grow into a fund of Rs 1 lakh. So start investing in mutual funds today and secure your financial future.
Follow DelhiBreakings on Google News
Superfast News Coverage by DelhiBreakings.com team.
For Superfast national news and Delhi Breaking Stories visit us daily at https://delhibreakings.com