Mutual fund institutions offer this type of investment scheme. Under this scheme, the user can invest a small amount on weekly, quarterly or monthly basis into any mutual fund that he/she has chosen. Retail investors are provided with a passive and disciplined approach of investing for creating long term wealth by using the compounding power.
The money is invested on regular basis mostly on a month's interval. This also decreases the effect of market volatility. The user can calculate the money earned and expected returns of SIP investment per month with the help of this calculator.
One can have a slight idea of the maturity amount of a monthly SIP based on the projected yearly return rate. The user has to input and submit the amount at tenure ending, the return rate and number of months. Then, the user will be provided with the monthly amount to invest.
SIP calculator helps understand the mutual fund investments. The person can invest even a small amount as per his/her capacity. It is best to study the features of SIP calculator before using it. By putting in some amount monthly, one can be eligible for greater returns in future.