Mutual Fund Calculator

Calculate mutual fund returns

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About Mutual Fund Calculator

Mutual funds pool money from multiple investors and invest in stocks, bonds, or other securities. This calculator helps estimate returns from SIP (monthly) or lumpsum (one-time) investments in mutual funds, helping you plan wealth creation goals.

How Do Mutual Funds Work?

  1. 1

    Choose fund category: Equity (stocks), Debt (bonds), or Hybrid (mix)

  2. 2

    Invest via SIP (monthly installments) or Lumpsum (one-time)

  3. 3

    Fund manager invests pooled money as per fund objective

  4. 4

    Your money grows based on NAV (Net Asset Value) changes

  5. 5

    Redeem anytime in open-ended funds (with exit load if applicable)

Example:

₹5,000 monthly SIP for 10 years at 12% return: Invested = ₹6L, Returns = ₹5.6L, Total = ₹11.6L. With 10% step-up: Invested = ₹9.6L, Returns = ₹10.1L, Total = ₹19.7L!

Key Benefits

Professional Management: Expert fund managers handle investments

Diversification: Invest in multiple stocks/bonds, reducing risk

Low Investment: Start SIP with just ₹500 per month

Liquidity: Redeem open-ended funds anytime (T+1 or T+2 days)

Tax Efficiency: LTCG on equity funds taxed at 12.5% (above ₹1.25L)

Regulated: SEBI regulated, safe and transparent

Frequently Asked Questions

Which type of mutual fund should I choose?

For long-term goals (>5 years) and wealth creation, choose equity funds. For short-term goals (1-3 years), choose debt funds. For moderate risk, choose hybrid funds. Young investors can go aggressive with equity, near retirement should choose debt-heavy portfolios.

What is a good return rate for mutual funds?

Equity funds historically give 12-15% CAGR over 10+ years. Debt funds give 6-8%. However, short-term returns can vary significantly. For planning, assume conservative 10-12% for equity and 6-7% for debt. Past performance doesn't guarantee future returns.

What is step-up SIP and should I use it?

Step-up SIP increases your monthly SIP amount by a fixed percentage every year. As your income grows, stepping up SIP (by 10-15% yearly) significantly boosts wealth creation. Highly recommended for long-term goals as it accelerates corpus building.

When should I exit mutual fund?

Exit when you achieve your financial goal, not based on market ups/downs. For systematic exit, use SWP (Systematic Withdrawal Plan). Avoid panic selling in market falls. If fund consistently underperforms category for 2-3 years, consider switching to better fund.