While thinking about investing in mutual funds, the first question that usually arises is - which fund should be chosen? While choosing a fund, you should always keep in mind some things like how much return the fund you have chosen has given so far… Along with this, if you invest in mutual funds, then you must have patience.
You can invest in mutual funds every month through SIP. If you are also planning to start investing in mutual funds, then today we are going to tell you about a fund that has converted an investment of 10 thousand every month into 14 lakhs in just 5 years.
Nippon India Mutual Fund Calculator
According to Value Research Online, if someone had invested Rs 1 lakh in this scheme and made a SIP of 10,000 every month in five years and continued it over time, then today the investment would have become 14,26,825 - which gives an annual return of 25.23 percent. Similarly, if the same investment strategy was adopted in ten years and the annual return was 17.43 percent, then the total investment of Rs 13,00,000 would have become Rs 34,94,567 over time. If an investor invested the same amount for two years, his investment would have increased from Rs 3,40,000 to Rs 4,55,279.
What is a small-cap fund?
Small-cap funds are high-risk investment options. Small cap mutual funds invest in the stocks of companies whose market cap is less than Rs 5 thousand crores. In this, it is necessary to do at least 65 percent asset allocation in small-cap stocks. As far as tax liability on these funds is concerned, short-term capital gains tax is levied on holding units for less than 1 year, and long-term capital gains tax is levied on holding units for more than a year. Let us tell you, if the capital gain in a financial year is less than one lakh then there is no tax liability on it.
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