How can I start with Rs 5 Lakh and reach Rs 1 Crore in 10 years?

Q:My Financial goal is Rs 1 Crore in 10 years and I am planning to do this by investing an initial amount of Rs 5 Lakh through mutual funds. With India booming and great scope for foreign investments ahead in the coming years, I would assume an average annual returns of 25% or more in mutual funds.

Can I achieve my target with this planning?

If not, please let me know the capital amount needed to achieve my target considering the current economic scenario and performance of the index.

A:You can reach your target, but your plan requires some modification.

First of all, we believe that the correct expectation for long term return in equity funds is 14-16% per annum. Markets can be volatile in the short term and thus reliably correct returns tend to be in the 14-16% range rather than a best case range of 25% or more. Good actively managed equity funds tend to do better, on average, than the index.

https://scripbox.com/blog/can-i-start-with-rs-5-lakh-and-reach-1-crore-in-10-years/

 

wow that 3 lakhs savings on a 10 lakhs CTC looked amazing
no wonder these firms make good business of people looking to be the next crorepatis