A Systematic Investment Plan (SIP) invests a fixed sum — say ₹5,000 — into a mutual fund every month automatically. Two forces do the heavy lifting: rupee-cost averaging (you buy more units when markets fall) and compounding over years.
How much can a SIP grow?
₹10,000/month for 15 years at 12% p.a. compounds to roughly ₹50 lakh, of which only ₹18 lakh is your contribution. Try the numbers yourself in our SIP calculator.
Three rules that matter
- Never stop SIPs in a crash — that is when averaging helps most.
- Step up the amount 10% yearly as income grows.
- Match fund risk to horizon: equity for 7+ years, hybrid/debt for shorter goals.
Educational content, not financial advice.