SIP: Children can also start SIP with just ₹ 250… Know the returns for 5, 10 and 20 years..
Nowadays, investment in SIP is increasing very fast. Investment in Mutual Funds is done through SIP. Usually, investment in SIP starts from a minimum of Rs 500 and there is no maximum investment limit. But some time ago, SBI Mutual Fund launched JanNivesh SIP with State Bank of India (SBI), in which one can start investing with just ₹ 250. This is such a small amount that even children can invest with their pocket money. Know about this SIP here.
Money will be invested in the SBI Balanced Advantage Fund.
Through JanNivesh SIP, investors' money will be invested in the SBI Balanced Advantage Fund. This is a hybrid scheme of SBI Mutual Fund.
What is the benefit of investing in a Balanced Advantage Fund?
In a Balanced Advantage Fund, investors' money is invested dynamically in equity and debt according to market conditions. The decision of how much money to invest in which asset class at what time is taken completely with the wisdom of the fund manager. Hybrid fund reduces the market risk. For this reason, it is considered a scheme giving balanced returns.
How can you invest
If you also want to start investing under the Jan Nivesh scheme, then you can do it through the SBI Yono App. Apart from this, you can also start investing through digital fintech platforms like Paytm, Zerodha, and Groww.
Daily, Weekly, and Monthly SIP
In the Jan Nivesh scheme of SBI Mutual Fund, you will get the option of daily, weekly, and monthly SIP. You can choose it according to your convenience.
How much return will you get in 5 years?
If you invest Rs 250 every month in this scheme for 5 years, then the total investment will be Rs 15,000. At the rate of 12% average return, you will get a return of Rs 5,276 in 5 years. In this way, you will have Rs 20,276 in 5 years.
How much return in 10 and 20 years
If you deposit Rs 250 per month for 10 years, you will have an investment of Rs 30,000. At the rate of 12%, you will get a return of Rs 26,009 and you will accumulate Rs 56,009. If you continue this for 20 years, the total investment will be Rs 60,000. At the rate of 12%, you will get a return of Rs 1,69,964 and in 20 years you will accumulate a total of Rs 2,29,964.
Keep this in mind
Mutual fund schemes are market-linked, so returns cannot be guaranteed in them. The average return of SIP is considered to be around 12%. Therefore, the calculation here is based on 12% return. It may be more or less depending on the market conditions.
Disclaimer: This content has been sourced and edited from Hr Breaking. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.
