SIP Calculator - Calculate Returns for SIP Investment

SIP is a systematic investment in mutual funds that help in accumulating a large sum of money at high returns. It prevents any pitfall of equity investments and encourages reaping high benefits over a long period. People have been investing in mutual funds since a very long time and have yielded very high returns and rewards.

It is very necessary for everyone to read all the documents including terms and conditions carefully before investing in any mutual fund. SIP Calculator is the need of the hour when it comes to investing your money in mutual funds. It helps you in many ways.

About SIP Calculator?

The SIP calculator is a guide that shows how a nominal investment at consistent time intervals can boost the accumulation of a large sum of money over a period of time. It helps to calculate and thus forecast the return of investment from your SIP till the date provided. You can thus get a concrete idea on how your investments will benefit you after a certain period of time.

Benefits of SIP as compared to Lump Sum Investments

SIP is mainly about investing at regular intervals for a long term. It can start with some nominal or very small investments which over a period of time give huge value in return. Hence, one can invest in small amounts instead of lump sum investments. The returns are high after a certain period of time and don’t create any monetary pressure for regular investments.

How to Calculate Mutual Fund SIP Returns

Every investor invests a fixed sum of money consistently for some intervals over a period of time. The SIP calculator shows SIP value after maturity. Every SIP installment which is paid to the bank or house also gears up the overall amount invested and thus boosting the return of investment.

It provides a realistic picture or forecast on the matured value invested and is of great advantage to plan your fund investments.

It will show how much you can earn in your mutual fund investments and get an idea on the market conditions to control your investments for yielding good returns.

Pros and Cons of SIP Calculator:

SIP Calculator helps you to invest the right amount of money considering your future expenses. You can calculate your earnings and hence choose the apt scheme to suit your investment. This will help to generate potential returns and also counter the impacts of inflation. This calculator thus tells you how much you can invest to meet your plans and understand the total returns.

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The cons of SIP calculator is just that it will give an idea on the forecast on investment returns and not absolute figure.

Conclusion:

SIP Calculator is very much beneficial for those who want to invest their money in mutual funds. It gives you the exact data of your earnings and expenses. It also calculates the returns of your investments and gives you a proper idea about your investments so that you can plan your future wisely.