Power of Rs 30,00,000 Lump Sum Investment in Mutual Fund: Mutual funds are an asset class that pools money on behalf of investors across various assets such as stocks, equities, and bonds. This creates a snowball effect using the power of compounding that helps your investments grow exponentially over time. But when it comes to investing in mutual funds, people usually think that the more you invest the higher the returns — which is actually true. However, what most people ignore is that timing is very important to make money from mutual funds. The longer you invest your money, the more funds you will be able to raise. In this write-up, we will show how many years you will need to create a corpus of Rs 1 crore, Rs 2 crore, and Rs 3 crore corpus. It should be noted that for all the calculations, we are assuming a 12 per cent annualised return rate.
Rs 30 lakh lump sum investment in MF: How many years will it take to create a Rs 1 crore corpus?
According to the calculations, you need to invest for at least 11 years in mutual funds to create a Rs 1 crore corpus with a Rs 30 lakh lump sum investment.
Rs 30 lakh lump sum investment in MF: What will be the average capital gain in 11 years?
In 11 years, you can expect a total of Rs 74,35,650 (on average) as capital gains.
Rs 30 lakh lump sum investment in mutual funds to build Rs 1 crore retirement corpus: Calculations
- Total Investment Amount: Rs 30,00,000
- Capital Gains: Rs 74,35,650 (expected)
- Total Approx. Return: Rs 1,04,35,650
Rs 30 lakh lump sum investment in MF: How many years will it take to create a Rs 2 crore corpus?
To create a retirement corpus of Rs 2 crore with a Rs 30 lakh lump sum investment, you need to invest for at least 17 years in mutual funds.
Rs 30 lakh lump sum investment in MF: What will be the average capital gain in 17 years?
After 17 years, you can expect a total of Rs 1,75,98,123 as capital gains.
Rs 30 lakh lump sum investment in mutual funds to build Rs 2 crore retirement corpus: Calculations
- Total Investment Amount: Rs 30,00,000
- Capital Gains: Rs 1,75,98,123 (expected)
- Total Approx. Return: Rs 2,05,98,123
Rs 30 lakh lump sum investment in MF: How many years will it take to create a Rs 3 crore corpus?
To create a retirement corpus of Rs 3 crore with a Rs 30 lakh lump sum investment, you need to invest for at least 21 years in mutual funds.
Rs 30 lakh lump sum investment in MF: What will be the average capital gain in 21 years?
After 21 years, you can expect a total of Rs 2,94,11,545 as capital gains.
Rs 30 lakh lump sum investment in mutual funds to build Rs 3 crore retirement corpus: Calculations
- Total Investment Amount: Rs 30,00,000
- Capital Gains: Rs 2,94,11,545 (expected)
- Total Approx. Return: Rs 3,24,11,545
Actual amount may vary
It should be kept in mind that all the returns mentioned above are expected, and the actual amount may vary depending on market conditions.
(Disclaimer: Our calculations are projections and not investment advice. Do your own due diligence or consult an expert for financial planning.)
