Examples of ₹20,000 SIP for 10 Years
These examples highlight how individuals with unique aspirations—retirement, business ventures, or lifestyle upgrades—used SIPs to achieve their goals.
Example 1: Large-Cap Fund
Ravi, a 40-year-old banker, wants to secure a stress-free retirement. He chooses a large-cap fund offering 10% annual returns, focusing on stability and consistent performance.
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Monthly SIP Amount: ₹20,000
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Investment Period: 10 years
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Fund Type: Large Cap
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Annualised Returns: 10% CAGR
Scenario:By the time Ravi retires at 50, his investment will grow to approximately ₹40.3 lakhs, creating a substantial retirement fund.
Using the SIP calculator, the calculation is as follows:
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Investment: ₹24,00,000
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Returns: ₹16.3L
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Total Corpus: ₹40.3L
Example 2: Mid-Cap Fund
Kavya, a 30-year-old designer, dreams of expanding her boutique into a global brand within 10 years. She invests in a mid-cap fund, which balances risk and growth, offering 12% annual returns.
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Monthly SIP Amount: ₹20,000
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Investment Period: 10 years
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Fund Type: Mid Cap
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Annualised Returns: 12% CAGR
Scenario:At 40, Kavya’s SIP matures to approximately ₹46.46 lakhs, enabling her to launch her global boutique successfully.
Using the SIP calculator, the calculation is as follows:
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Investment: ₹24,00,000
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Returns: ₹22,46,000
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Total Corpus: ₹46,46,000
Example 3: Small-Cap Fund
Siddharth, a 25-year-old tech enthusiast, wants to build a significant corpus for a high-risk, high-reward startup idea. He invests in a small-cap fund known for higher returns, offering 15% annual returns.
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Monthly SIP Amount: ₹20,000
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Investment Period: 10 years
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Fund Type: Small Cap
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Annualised Returns: 15% CAGR
Scenario:By 35, Siddharth’s investment grew to an impressive ₹55.78 lakhs, giving him the capital to turn his startup vision into reality.
Using the SIP calculator, the calculation is as follows:
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Investment: ₹24,00,000
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Returns: ₹31,78,000
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Total Corpus: ₹55,78,000
SIP Calculator
Monthly Investment
₹22.4 L
Top Funds with High Returns (Past 7 Years)
16.82%
High Growth Fund
16.57%
Top 200 Fund
13.25%
Accelerator Mid-Cap Fund II
13.43%
Opportunities Fund
9.13%
Growth Plus Fund
11.71%
Accelerator Fund
12.71%
Grow Money Plus Fund
14.1%
Multiplier
10.7%
Equity Top 250 Fund
11.43%
Future Apex Fund
10.91%
Opportunities Fund
12.95%
Frontline Equity Fund
15.2%
Virtue II
9.52%
Pension Dynamic Equity Fund
11.03%
Top 300 Fund
9.19%
Blue-Chip Equity Fund
- Insurance Companies
- Mutual Funds
|
Returns |
| Fund Name |
5 Years |
7 Years |
10 Years |
| Max Life |
33.56% |
19.72% |
|
| Tata AIA |
33.06% |
20.69% |
|
| Bajaj Allianz |
26.11% |
11.93% |
|
| HDFC Standard |
26.28% |
13.34% |
|
| Canara HSBC Oriental Bank |
18.66% |
9.86% |
|
| Bharti AXA |
23.24% |
13.96% |
|
| Birla Sun Life |
27.71% |
12.46% |
|
| ICICI Prudential |
24.94% |
12.68% |
|
| LIC |
- |
- |
|
| PNB Metlife |
23.2% |
17.21% |
|
Fund rating powered by
Last updated: Mar 2025
| |
Returns |
| Fund Name |
3 Years |
5 Years |
10 Years |
| QUANT |
23.92% |
31.48% |
|
| PARAG PARIKH |
20.69% |
26.41% |
|
| EDELWEISS |
22.34% |
24.29% |
|
| KOTAK |
24.64% |
25.01% |
|
| MIRAE ASSET |
19.74% |
24.32% |
|
| PGIM INDIA |
14.75% |
23.39% |
|
| DSP |
18.41% |
22.33% |
|
| CANARA ROBECO |
20.05% |
21.80% |
|
| SUNDARAM |
18.27% |
18.22% |
|
Why Should You Start Investing Today?
Starting your ₹20,000 SIP today can significantly improve your financial future. SIPs allow disciplined investment, provide flexibility, and reduce market risks through rupee cost averaging. Whether you aim for a secure retirement, business growth, or wealth creation, investing now maximizes your potential returns through the power of compounding. Don’t wait—start today to secure tomorrow!
FAQs
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What is the advantage of a ₹20,000 SIP over ₹10,000?
A higher SIP amount accelerates
wealth creation, allowing you to achieve larger financial goals in a shorter time frame.
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Are large-cap funds safer than mid-cap or small-cap funds?
Yes, large-cap funds are generally safer, offering consistent and stable returns, making them ideal for conservative investors.
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Can I increase my SIP amount during the investment period?
Yes, many mutual fund platforms allow you to increase your SIP amount through
step-up SIP options.
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What is the tax treatment for SIP returns?
Returns from SIPs are subject to capital gains tax, depending on the investment type and holding period. Equity funds held for over a year qualify for
long-term capital gains tax.
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What’s the best age to start a ₹20,000 SIP?
Starting as early as possible is ideal, as it provides more time for your investments to grow through compounding.
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How do I choose between large-cap, mid-cap, and small-cap funds?
Your choice depends on your financial goals, risk tolerance, and
investment horizon. Large-caps suit conservative investors, mid-caps offer balanced growth, and small-caps are ideal for high-risk, high-return seekers.
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Can I stop or pause my SIP if needed?
Yes, SIPs are flexible, and you can pause or stop them temporarily if needed. However, this might impact your overall returns.
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Are small-cap funds too risky for beginners?
Small-cap funds are riskier but can offer higher rewards. Beginners should consult a financial advisor before choosing them.
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What tools can I use to track SIP performance?
Most mutual fund platforms and financial apps provide SIP tracking tools to monitor your investments.
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How does a 10-year SIP differ from a 20-year SIP?
A
10-year SIP builds wealth for medium-term goals, while a
20-year SIP generates a larger corpus for long-term aspirations due to the extended compounding period.
