If your goal is to accumulate ₹1 crore in the next 10 years—whether for retirement, buying a house, or other financial milestones—you need a disciplined investment strategy. While traditional options like fixed deposits or gold are safe, they may not grow fast enough to reach the target within a decade.
A more practical route is to invest regularly in mutual funds through systematic investment plans (SIPs). The key factors that determine the outcome are the monthly contribution, investment horizon, and expected annual returns.
The Math Behind ₹1 Crore in 10 Years
Assuming your portfolio delivers a 12% annual return, you would need to invest ₹43,150 per month via SIPs to reach ₹1 crore in 10 years.
- At 14% returns, the required monthly SIP falls to ₹38,250.
- At 16% returns, it reduces further to ₹33,750.
Why Equity Funds Are Key
Experts point out that returns above 10% are achievable mainly through equity mutual funds, not debt-oriented schemes. Hence, to realistically achieve the ₹1 crore goal, your portfolio should remain equity-heavy.