SIP return calculator

SIP Calculator: The Ultimate Tool for Achieving Your Financial Goals through Smart Investments

What is a SIP Calculator?

A SIP calculator is a tool that helps people to evaluate the returns on their SIP-based mutual fund investments. Mutual fund SIP investing has become one of the most well-liked investment solutions. These sip calculators are created to provide investors with a prediction about their mutual fund returns. The actual returns, however, vary based on a number of variables available.

The capital gain and projected returns for your SIP are calculated using this sip calculator. Based on a predicted return rate, you receive a primary estimate of the maturity amount for your monthly SIPs.

SIP Calculator: The Ultimate Tool for Achieving Your Financial Goals through Smart Investments: 

Many mutual fund experts believe that SIPs are a more profitable way to invest money than a flat sum. The SIP Calculator merely divides the future value of the SIP investment into two figures that are the expected return on investment and the principal amount.

Therefore, you may use the SIP return calculator to gain a general idea of how your investment would increase over a specific holding time, given a specified rate of return and SIP contribution.

Some of the benefits of SIP calculators may include –

  • The sip calculator helps you to decide how much you wish to invest.
  • The sip calculator gives you details on your total investment.
  • The sip calculator provides an expected return value.

How do SIP calculators work?

A SIP calculator works on the formula below –

M = P × ({[1 + i] ^n – 1} / i) × (1 + i).

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In the above formula –

  • M is the quantity you receive upon maturity.
  • P is the total you invest at regular intervals.
  • n is the number of payments.
  • i is the rate of interest periodically.

You only need to input the monthly investment price (the amount for which you initiated the SIP), the number of years you intend to keep the investment, and the estimated rate of returns. Shortly as you enter the value, the online tool will display an estimate of the amount you can receive once your investment period is through. To begin investing in mutual funds, you only need to utilize the manually calculated rate as your rate of return and enter it into the calculator.

UTI Small Cap Fund: UTI Mutual Fund offers a Small Cap mutual fund product called UTI Small Cap Fund. The UTI Small Cap fund’s investment in domestic equities is 96.27%, with 62.25% of it in small-cap stocks and 3.75% in mid-cap stocks. This Small Cap Fund invests in debt at a rate of 0.15%, with 0.15% of that amount in government securities.

The UTI Small Cap Fund is Appropriate for investors looking for extremely high profits and willing to commit money for at least three to four years. Additionally, these investors need to be prepared for the risk of greater losses on their assets.

Why to Invest in UTI small cap fund?

The UTI Small Cap Fund seeks to take advantage of small-cap and select mid-cap firms’ potential for growth. It has a well-diversified portfolio of scalable companies with a long growth runway. The UTI Small Cap Fund uses the 3600 Risk Assessment Framework to find strong equities and steer clear of weak ones. UTI Small Cap Fund Uses a bottom-up stock selection strategy to choose companies with strong financial positions and the capacity to sustain margins over time.

As of April 20, 2023, the UTI Small Cap Fund’s expense ratio was 0.63%, and AUM, or assets under management, was 2,390.64Cr. As of 19 April 2023, the NAV for UTI Small Cap Fund is 15.80. The 1-year returns on UTI Small Cap Fund are 0.12%. It has generated returns of 21.75% on average every year since its start.

The financial, services, capital goods, materials, and healthcare sectors are where the UTI Small Cap Fund has the majority of its investments. Compared to other funds in the category, UTI Small Cap Fund has acquired less exposure to the financial and services sectors. 

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