Best Mutual Funds that can make you Crorepati in 10 years
There are thousands of mutual funds. Investing in the right mutual fund is key. If you want to become Crorepati, disciplined investment is the only way to achieve such goals unless you are planning to do any business. One can start as low as Rs 21,000 per month to become Crorepati in 10 years. In this article we would tell you 5 Best Mutual Funds to invest that can make you Crorepati in 10 years time frame. We would also indicate various ways you can modify your SIP amounts to achieve this goal faster.
Also Read: Best Largecap Mutual Funds to invest in 2022
What is Crorepati goal?
Everyone wants to become Crorepati. While Crorepati goal looks highly difficult task, if you can plan well, you can become Crorepati in 10 years, 20 years or 30 years. The value of 1 Crore would keep reducing as your tenure increases. E.g. 1 Crore value might be seen, more to less same in 1 year, but after 10 years, the value would fall. After 30 years, it would drastically fall. Hence, if you are planning to become Crorepati by investing in mutual funds, you can try to reduce the tenure to say 20 years or 10 years.
How much money required to invest to become Crorepati in 10 years?
Once you have created your 1 Crore goal to be achieved in 10 years, the next question that would come is, how much to save and where to invest. Investing in insurance plans can provide 4% to 5% tax free returns. If you take up fixed deposits, you can earn little higher than this. But achieving 1 crore goal by investing in insurance plans or fixed deposits would take decades. One of the best ways to invest and become Crorepati early is investing in direct equity or mutual funds. Again direct equity is high risk. If you are good in analyzing stocks, nothing can beat this approach. However, many investors do not have time and do not want to take much risk too. Hence the best way to create 1 Crore in 10 years is to invest in SIP mutual funds.
Now the question is how much money you need to invest in SIP mutual funds every month to become Crorepati in 10 years. Here are some calculations:
1) Investment of Rs 43,000 per month for 10 years and with 12% annualized returns, one can become Crorepati in 10 years.
2) Investment of Rs 30,000 per month for 10 years with an increase in SIP by 10% year on year and 12% annualized returns, one can become Crorepati in 10 years.
3) Investment of Rs 24,500 per month for 10 years and with the increase of SIP by 15% year on year and 12% annualized returns, one can become Crorepati in 10 years. This approach is good, especially when someone has just started earning and has handsome salary, but expect high salary hike in next 5 to 10 years.
4) One can invest Rs 21,000 per month + increase SIP by 15% year on year + Invest bonus / annual variable pay of Rs 50,000 per annum + increase such bonus by 10% every year. With 12% annualized returns, one can become Crorepati in 10 years. This approach is good, especially when someone wants to invest their yearly bonus also to become Crorepati faster.
The above are just examples, one can always play with their own computations.
5 Best Mutual Funds that can make you Crorepati in 10 years
Which funds are good to make you Crorepati? If you invest in mid cap/small cap, these are high risk. If you go for balanced funds, you may get low returns. Hence, you need to pick-up 5 mutual funds which are diversified and that are consistent performers. Here is the list of 5 mutual funds that can make you Crorepati in 10 years. You can see some overlapping of funds which would have invested in same stocks, which you can ignore it. One of the fund is not accepting lumpsum investments now, you can consider once it reopens for investment.
#1 – UTI Nifty Index Fund
#2 – Axis Blue Chip Fund
#3 – Mirae Asset Emerging Bluechip Fund
#4 – Parag Parikh Flexi Cap fund
#5 – ICICI Pru Equity and Debt Fund
Also Read: Best Multibagger Mutual Funds – 10x returns in 10 years
Best Mutual Funds that can make you Crorepati in 10 years – Performance in the last 1 to 10 years
Due to bull run, you might see abnormal returns, however, one can assume 12% annualized return on safer side. However, if one can expect 1 or 2 bull runs during this period, you can become Crorepati even faster.
Here are the annualized returns in the last 1 year, 5 years and 10 years.
|Fund Name||1 Year||5 Years||10 Years|
|UTI Nifty Index Fund||14%||15%||13%|
|Axis Bluechip Fund||10%||18%||15%|
|Mirae Emerging Bluechip Fund||20%||19%||24%|
|Parag Parikh Flexi Cap Fund||28%||21%||21%|
|ICICI Pru Equity and Debt Fund||31%||15%||16%|
Here are the SIP returns in the last 5 to 10 years.
|Fund Name||5 Years||10 Years|
|UTI Nifty Index Fund||17%||14%|
|Axis Bluechip Fund||17%||16%|
|Mirae Emerging Bluechip Fund||22%||23%|
|Parag Parikh Flexi Cap Fund||24%||20%|
|ICICI Pru Equity and Debt Fund||20%||17%|
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Age 49..current networth of 26 lakhs in MF all investments in lumpsump
.Can I reach 1 cr with the same investments in the next 10 yrs
With Rs 26 Lakhs for 10 years, you may achieve 80.75 Lakhs only with 12% returns. You can achieve 1 Crores in next 10 years with following.
1) Invest 1 Lakh every year beyond current investments.
2) Invest 9,000 per month through SIP. With 12% returns + 26lakhs lumpsum, you can reach this goal.
There are several other ways too, I just gave above as 2 samples.
Very useful & nicely expressed
I am interested in investing in Mirae Asset and Axis blue chip, my question is shall I do lumpsum or SIP, what’s your view??
SIP is always better. However if you have lumpsum, invest in 3-4 lots atleast.
In my portfolio I have Rs. 61500/- every month mutual fund SIP and Rs. 5,00,000/- lumpsum investment in mutual funds.
Whether I can reach my target of Rs. 1 Crore in next 5 yrs.
Without understanding which mutual funds you are investing, difficult to comment. Assuming that your portfolio is well diversified, with 61.5K per month + 5.5L lumpsum, you would reach to 56 Lacs to 60 Lacs in 5 years considering 10% to 12% returns
How can I reach ₹100 crore with ₹50000 per month sip? Pls help
Interesting question. This can’t be indicated just thru comment. Let me provide a detailed article in next few days on this.
OK sir thank you.
Waiting for your answer.