SIP Calculator

Standard SIP formula: M = P × [(1 + i)^n − 1] / i × (1 + i), where P is the monthly investment, i is the monthly return rate (annual rate ÷ 12 ÷ 100), and n is the number of months. The (1 + i) factor at the end assumes investment at the start of each month — most online calculators use this convention. Lumpsum uses the simpler compound interest formula: M = P × (1 + r/100)^t.

Conservative: 8-10% (large-cap funds, balanced portfolios). Moderate: 12% (multi-cap / mid-cap funds). Aggressive: 15% (small-cap funds, sector funds). Long-term Indian equity averages ~12% nominal over 15+ years (BSE Sensex CAGR since 1979 is ~14%). Don't extrapolate one bull year — use the long-term average.

No — the maturity figure is in nominal rupees. To convert to today's purchasing power, divide by (1 + inflation)^years. India's long-term inflation runs ~6%, so a ₹1 crore maturity in 20 years is roughly ₹31 lakh in today's money. For real-return planning, subtract expected inflation from your assumed return rate.

If you have a lump sum and the market is at a fair valuation, lumpsum mathematically wins (more time invested = more compounding). If you don't have a lump sum, or the market is at a peak, SIP averages your entry price (rupee-cost averaging) and reduces timing risk. In practice, most retail investors lump-sum when they get a windfall and SIP from monthly salary.