Now Reading: Rs 25,000 Step-Up SIP Could Reach Rs 10 Crore in 25 Years
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Rs 25,000 Step-Up SIP Could Reach Rs 10 Crore in 25 Years
A monthly SIP of Rs 25,000, increased by 10% each year, could grow to an estimated Rs 10.69 crore over 25 years, according to Livemint. The illustration assumes a 12% annual return…
The Story in Brief
A monthly SIP of Rs 25,000, increased by 10% each year, could grow to an estimated Rs 10.69 crore over 25 years, according to Livemint. The illustration assumes a 12% annual return and total investments of about Rs 2.95 crore. With a 5% annual increase, the same starting SIP could reach around Rs 10.17 crore in 28 years, based on the same return assumption. SIPs invest fixed amounts regularly in mutual funds, helping investors build portfolios gradually and average purchase costs across market cycles. The article advises tailoring contributions to income, goals and risk tolerance, and consulting a qualified financial adviser.
The Indian Opinion
Claims that any Rs 25,000 SIP guarantees an early retirement are too sweeping. The Rs 10 crore figures are projections, not promises, and depend on a 12% annual return that markets may not deliver steadily. The opposite claim, that modest investors cannot build meaningful wealth, is also lazy. The practical test is whether contributions rise with income and whether the eventual return comes close to the assumed 12%.
Source: livemint.com
This story was synthesised by AI from the source linked above.
