Recent few years many investors joined Mutual Funds and each month now more than 8000cr inflow is coming in market via Mutual Fund SIP.
The AUM of the Indian MF Industry has grown from INR 5.45 trillion as on 31st August 2008 to INR 25.20 trillion as on 31st August, 2018, more than fourfold increase in a span of 10 years!!
Now, MF AUM was 7.66 trillion as on 31st August 2013, so major growth came in 2013-2018 of bulls period only.
Now, MF AUM was 7.66 trillion as on 31st August 2013, so major growth came in 2013-2018 of bulls period only.
For past 2 month Equity market is falling continuously and many SIP started in last 2 years are now showing negative or flat returns. Many of this SIP investors are first time investors and now they are not getting return as they expected from mutual fund.
To make it clear why mutual fund is best investment to all Mutual Fund investors , we have extract data of mutual fund schemes launched in 90's. This schemes are now more than 20 years old and have seen dot com crisis, 2008 financial crisis and many such big market falls.
Let's have look at the growth of 1 lakhs in this schemes from inception till today (As on 21st Oct 2018)
1lakhs invested in Reliance Growth Fund in 1995 turns into 99lakhs in 23 years. This is the real compounding effect of mutual fund.
If someone started SIP of 1000INR in Reliance Growth Fund - Regular (G) since its launched (8th Dec 1995) and continued till today (22nd Oct 2018) , than one has invested 2.75lakhs in 275 months and current value of this investment is 57lakhs with CAGR of 22%. Any FD, PPF, Money Back Insurance can not give such a returns, even they can't even give half of this return in this time frame.
So don't let market volatility change your perception about Mutual Fund . #MutualfundSahiHai
If you have any query about mutual fund or if you want to start new SIP, you can contact us on
+91 9033360239. We are certified mutual fund advisor and we provide best possible investment solution for your financial goal.
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