Sitting in a restaurant Aparajita is confused about what to order, while Ritik, her husband, is hungry and impatient for food for 20 minutes. Ritik complains and yells at Aparajita about her indecisive nature from shopping to deciding for dinner. He reveals that it is one of the reasons that he does not involve Aparajita in investment decisions.

Well! In our daily lives we go through many things which check our ability to decide and choose the best options for us. However, there are some serious decisions having long-term impact on our futures which we need to take more often. One of the decisions is investment where one missed ball can derail your goals.

Luckily to combat this decision fatigue we have Systematic Investment Plans (SIPs). SIPs eliminate monthly mental fatigue and delay of how, when and what to invest in, while the onus of decision lies with the financial expert.

SIPs: Not A Product But A Smart Method

Today, SIPs receive over Rs 30,000 inflow a month and the assets under management (AUM) stand at a whopping Rs 80 lakh crore. This shows the growing trust of Indian retail investors who are choosing financial guidance and automating investments.

SIPs offer a flexible amount as low as Rs 500 to invest in a regular mutual fund, where the fund is smartly suggested by the expert depending on your goals, risk and tenure. SIPs, as a method of investing in mutual funds, help in rupee cost averaging, remove the biases of timing the market, skipping investments and give and purpose to your investment corpus.

With the three ingredients of patience, consistency and discipline you can create enormous wealth to achieve your goals without depending on EMIs. SIPs, with its companion of compounding, have a history of delivering average returns of 12% to 18% in the long-term. Below is the table to understand how the investment behaves in different tenure at 12% return.

SIPs & Power of Compounding

The power of compounding or the 8th wonder of the world is something which can explode your wealth with time. It is proven and back-tested that your wealth can grow exponentially if you stay invested for the long-term with consistency and discipline.

Here’s how your money grows if you stay consistent. We’ve seen a 12% compounded annual growth rate (CAGR). Now let’s explore the magic beyond as mutual funds returns are not limited to 12% if you invest with the guidance of a trusted mutual funds distributor.

In the table below we've assumed a 15% CAGR, which is also a realistic long-term return for equity mutual funds.

Saw the magic? It’s not just the money you put in - it’s time and consistency that create wealth. The story doesn’t stop here, let’s explore the power of compounding with 18% CAGR. Not an exaggeration but realistic maths.

 This massive change in wealth creation is achievable if you choose the right plan, assess your risk profile and right selection of the tenure depending on the goals. While the task seems complex, it is pretty easy if you find the right professions for the job. MINTIT, India’s dedicated Mutual Fund Platform caters to your personalised goals and accompanies you to achieve your financial milestones.

Depending on your profile it precisely suggests tailored investing plans to achieve your goals through best suited mutual funds. Sign up to MINTIT now and start your mutual funds SIPs journey with professional guidance.

Download the "SIP: A Simple 7-Step Checklist for Beginners” - your first step towards your investment journey.

Stay Ahead With Step-up SIPs

To level-up the investing journey, a step-up SIP is a smart way of investing in mutual funds where you automatically increase the SIP amount at regular intervals, typically every year. The purpose is to grow your investments in line with rising income and inflation, so you can build a bigger corpus over time.

For example, in regular SIP you invest Rs 10,000 every month for 10 years, whereas in Step-Up SIP you increase the SIP amount, say 10% every year. Now Rs 10,000 SIP investment in 2025 will increase to Rs 11,000 in 2026 and so on.

To get a clearer picture, let’s compare the regular SIP with step-up SIP to get a final picture.

A regular SIP of Rs 10,000 would give you Rs 3.5 crore with 12% CAGR in 30 years. Whereas, Step-Up SIP will give you Rs 8.8 crore with 12% CAGR in 30 years. That’s a massive 2.5x jump with the same investing discipline.

To achieve your goals with SIP investing, download the MINTIT app to begin your investment journey with guided, goal-focused support and right mutual funds.

Stop Thinking. Start SIPing.