SBI Mutual Fund: Apart from the stock market, investors are also investing heavily in mutual funds. The SIP method is being given more importance to invest in these. There are many mutual funds that have given tremendous returns to the investors. Among these, this mutual fund of SIB has more than doubled the investors’ money in 5 years.
SBI Mutual Fund: The number of people investing in mutual funds is constantly increasing. People who either do not have experience in the stock market or do not want to take the risk of investing in the stock market are investing more in it. There are many mutual funds that have given tremendous returns to the investors. Although investing in these is also risky, but not as much as the stock market. A mutual fund of State Bank of India (SBI) has made investors rich.
The mutual fund of SBI that we are talking about is a small cap fund. Its name is ‘SBI Small Cap Fund – Direct Growth’. This mutual fund has made an investment of Rs 20,000 per month into about Rs 28 lakh in 5 years. That is, it has more than doubled the investment in these 5 years.
How did 20 thousand become 28 lakh rupees?
This mutual fund has given investors an average annual return of a little more than 30 percent in 5 years. Its one-year return has been 37.29 percent and 3 years 24.14 percent.
With a SIP of 20 thousand rupees per month, the amount deposited in 5 years would have been 12 lakh rupees. Since the average annual return in 5 years has been 30.35, the interest in these 5 years would have been 16.18 lakh rupees. Thus, the total amount of the investor would have been 28.18 lakh rupees in 5 years. This return is more than 100 percent.
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These mutual funds also gave good returns
Apart from SBI, mutual funds of other companies have also given good returns to investors. The annual returns of some major mutual funds were as follows:
- Quant Small Cap Fund: 28.97%
- Nippon India Small Cap Fund: 27.38%
- Quant ELSS Tax Saver Fund: 26.21%
- Motilal Oswal Midcap Fund: 25.46%
- Quant Flexi Cap Fund: 25.44%
How risky is the investment?
Mutual funds are linked to the stock market. In such a situation, investing in them is considered risky. Experts say that those who invest in mutual funds should not panic due to the fluctuations in the stock market. It would be better to invest in it for the long term. Experts advise those who want to make money in a short time to stay away from them.
Disclaimer: The suggestions given in this analysis are from individual analysts or broking companies, not Rightsofemployees. We advise investors to consult certified experts before taking any investment decision. Because the conditions of the stock market can change rapidly.
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