Confused by your mutual fund percentages? You're not alone! Let's demystify those numbers and truly understand how your investments are growing.
Absolute return shows total gain over time. CAGR (Compound Annual Growth Rate) annualizes it, giving an average yearly growth for lump sums. Essential for long-term clarity!
For SIPs, simple CAGR won't cut it. XIRR (Extended Internal Rate of Return) accurately calculates your annualised return across multiple investments made on different dates.
Your actual take-home profit is reduced by expense ratios, exit loads, and taxes (STCG/LTCG). Always factor these into your calculations!
Don't just look at nominal returns! Inflation erodes purchasing power. Your real return (nominal minus inflation) shows your money's actual growth.
Compare your fund against its benchmark & peers. Look for long-term consistency, not short-term noise. Align returns with your risk profile. Don't chase past performance!
Ready to project your wealth and plan for the future? Use our SIP, Step-Up, and Goal SIP Calculators today! Visit sipplancalculator.in to get started.