What does a monthly SIP grow into?

What this assumes

Instalment paid

Start of each month

Compounding

Monthly

Returns

Constant, as you set them

Step-up applied

Once every 12 months

What it does not account for

• Exit load, which most equity schemes charge on units redeemed within a year.
• Capital gains tax. Long-term equity gains above ₹1.25 lakh a year are taxed at 12.5%.
• The expense ratio, if you enter a gross return figure rather than a net one.
• Sequence of returns. Real markets deliver the same average through a very different path, and the path is what tests you.

Mutual fund investments are subject to market risks. Read all scheme related documents carefully. Outputs here are illustrations based on the assumptions you set, not projections of any scheme’s performance.