50000 SIP for 5 Years

Investing ₹50,000 monthly in a Systematic Investment Plan (SIP) for 5 years can serve as a solid foundation for achieving your medium-term financial aspirations. With the benefits of compounding and rupee cost averaging, SIPs provide a structured and disciplined way to grow wealth while mitigating market fluctuations.

SIP Plan Benefits

Start SIP with as low as ₹1000

No hidden charges

Save upto ₹46,800 in Taxunder section 80C^{^}

Zero LTCG Tax^¶

Disciplined & worry-free investing

How Your ₹50,000 Investment Grows

The potential growth of your ₹50,000 monthly SIP depends on various factors, including the type of fund, market conditions, and investment duration. Let’s examine how this investment option could perform across different fund categories based on assumed historical returns:

Large-Cap Funds:

Scenario: A risk-averse investor seeking steady and predictable growth.
Monthly SIP Amount: ₹50,000
Investment Period: 5 years
Fund Type: Large-Cap
Annualized Returns: 10% CAGR (Assumed)
Outcome: In 5 years, the investment could grow to approximately ₹38.6 lakhs. This corpus can be a stepping stone towards securing your child’s education or building a financial cushion.

Mid-Cap Funds:

Scenario: An investor in their 30s balancing growth potential and moderate risk.
Monthly SIP Amount: ₹50,000
Investment Period: 5 years
Fund Type: Mid-Cap
Annualized Returns: 12% CAGR (Assumed)
Outcome: In 5 years, the investment could grow to approximately ₹40.6 lakhs. This amount can be allocated for goals like purchasing a car or planning a dream vacation.

Small-Cap Funds:

Scenario: A younger investor with a higher risk appetite aiming for maximum returns.
Monthly SIP Amount: ₹50,000
Investment Period: 5 years
Fund Type: Small-Cap
Annualized Returns: 15% CAGR (Assumed)
Outcome: In 5 years, using SIP return calculator, the investment could grow to approximately ₹43.7 lakhs. This significant corpus can support ambitious goals, such as starting a business or making a down payment on a house.

SIP Calculator

I know my investment amount I know my goal amount

Monthly SIP Yearly SIP Lumpsum

I want to invest Pro Tip

Financial experts suggest that a person should invest 10-15% of their monthly income for long-term financial growth

/Month

I want to invest for Pro Tip

Financial experts suggest that individuals should ideally invest for a period of 5 to 10 years, or even longer, to maximize the benefits of compounding and navigate market fluctuations effectively

Years

Expected return Pro Tip

Top 25% of investors consistently generate more than 12% return

% Annually

Total Wealth ₹22.4 L

View Plans

I want to save

I want to invest for Pro Tip

Financial experts suggest that individuals should ideally invest for a period of 5 to 10 years, or even longer, to maximize the benefits of compounding and navigate market fluctuations effectively

Years

Expected return Pro Tip

Top 25% of investors consistently generate more than 12% return

% Annually

Monthly Investment ₹22.4 L

View Plans

Top Funds with High Returns (Past 7 Years)

16.4%

High Growth Fund

16.77%

Top 200 Fund

13.2%

Accelerator Mid-Cap Fund II

13.33%

Opportunities Fund

8.64%

Equity II Fund

11.62%

Accelerator Fund

12.67%

Grow Money Plus Fund

14.04%

Multiplier

10.82%

Equity Top 250 Fund

11.19%

Future Apex Fund

10.97%

Opportunities Fund

12.76%

Frontline Equity Fund

14.2%

Virtue II

9.39%

Pension Dynamic Equity Fund

10.45%

Equity Fund

9.07%

Blue-Chip Equity Fund

Insurance Companies
Mutual Funds

Fund Name	5 Years	7 Years	10 Years
	Returns
High Growth Fund Max Life Rating	24.84%	18.57%	16.4% View Plan
Top 200 Fund Tata AIA Rating	24.04%	20.03%	16.77% View Plan
Accelerator Mid-Cap Fund II Bajaj Allianz Rating	17.43%	10.73%	13.2% View Plan
Opportunities Fund HDFC Standard Rating	17.56%	12.29%	13.33% View Plan
Equity II Fund Canara HSBC Oriental Bank Rating	11.56%	9.27%	8.64% View Plan
Grow Money Plus Fund Bharti AXA Rating	15.75%	13.48%	12.67% View Plan
Multiplier Birla Sun Life Rating	18.22%	11.28%	14.04% View Plan
Opportunities Fund ICICI Prudential Rating	15.71%	11.97%	10.97% View Plan
Flexi Growth Fund LIC Rating	-	-	- View Plan
Virtue II PNB Metlife Rating	20.71%	15.98%	14.2% View Plan

Fund rating powered by

Last updated: Feb 2025

Compare more funds

Fund Name	3 Years	5 Years	10 Years
	Returns
Active Fund QUANT	23.92%	31.48%	21.87%
Flexi Cap Fund PARAG PARIKH	20.69%	26.41%	19.28%
Large and Mid-Cap Fund EDELWEISS	22.34%	24.29%	17.94%
Equity Opportunities Fund KOTAK	24.64%	25.01%	19.45%
Large and Midcap Fund MIRAE ASSET	19.74%	24.32%	22.50%
Flexi Cap Fund PGIM INDIA	14.75%	23.39%	-
Flexi Cap Fund DSP	18.41%	22.33%	16.91%
Emerging Equities Fund CANARA ROBECO	20.05%	21.80%	15.92%
Focused fund SUNDARAM	18.27%	18.22%	16.55%

Last updated: Feb 2025

Compare more funds

˜Top 5 plans based on annualized premium, for bookings made in the first 6 months of FY 24-25. Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in

Why Start Investing Today?

Power of Compounding: Starting early allows your money to grow exponentially over time.
Rupee Cost Averaging: Regular investments smooth out market volatility, ensuring you buy more units when prices are low.
Flexibility and Accessibility: SIPs offer the freedom to choose investment amounts and funds that align with your goals and risk appetite.

Start An Sip Today Watch Your Money Grow

FAQs

Can I stop my SIP midway if needed?

Yes, SIPs are flexible, and you can stop or pause them anytime without incurring penalties. However, staying invested for the full tenure is recommended to maximise returns.
Which fund type is best for a 5-year investment horizon?

For a 5-year horizon, large-cap funds are generally considered safer due to their stability. Mid-cap and small-cap funds can offer higher returns but come with increased risk.
What happens if I miss a SIP installment?

Missing one or two installments does not result in penalties, but consistent investing is key to achieving your financial goals.
How do I choose the right SIP for my goals?

Consider factors like your risk tolerance, investment horizon, and financial objectives. Consulting with a financial advisor can also help tailor a plan suitable for your needs.
Are SIP returns guaranteed?

No, SIP returns are market-linked and depend on the performance of the chosen funds. Historical returns can provide an estimate but do not guarantee future performance.
Can I increase my SIP amount during the tenure?

Yes, many fund houses offer the option to top-up your SIP, allowing you to increase your investment amount as your income grows.