Deepak here! Let's demystify how to track your mutual fund growth. Especially for that ambitious ₹10 lakh goal in 7 years. It's simpler than you think!
Simple 'Absolute Return' misleads! It ignores time. For your ₹10L goal in 7 years, you need **CAGR** – the true average annual growth rate over time.
Invested ₹5L, got ₹10L in 7 years? CAGR reveals it grew ~10.41% annually! Use formula: [(End Value/Start Value)^(1/Years)] - 1 to find your real rate.
For monthly SIPs, your fund statement's XIRR is your CAGR! Or use online calculators/Excel's XIRR function to find the accurate annualised return.
Market cycles, fund performance, inflation, & *your investment behavior* all shape your 7-year journey. Stay disciplined to hit that ₹10L target!
Don't compare apples to oranges, ignore costs (expense ratio!), or focus solely on short-term returns. Annual reviews & benchmark comparison are key.
Ready to crunch numbers for your financial journey? Use a powerful SIP calculator to plan your investments and visualize your future wealth! Visit sipplancalculator.in