Systematic Investment Plans (SIPs) are revolutionizing the way Indians, especially those in the corporate and service sectors, approach investments. Offering a flexible and systematic approach to investing, SIPs allow individuals to invest a fixed amount regularly in a mutual fund scheme.
The popularity of SIPs in India is evident from the substantial growth in contributions, soaring from ₹92,693 crore in 2018-19 to a staggering ₹1,41,696 crore in February 2023. This 53% increase over five years signifies a robust shift towards regular, disciplined investing.
This method suits the varied risk appetites and financial goals of different investors, ranging from conservative to aggressive strategies. Not only do SIPs cater to diverse investment horizons, but they also offer significant tax benefits under Indian tax laws, making them a smart choice for savvy investors.
In this blog, we’ll talk about the ten best SIP plans 15-year investment horizon, unpacking their potential for wealth creation and tax efficiency.
Best SIP For 15 Years in India
1. Parag Parikh Flexi Cap Fund Direct-Growth
The Parag Parikh Flexi Cap Fund Direct-Growth exemplifies a medium-sized yet potent investment choice in its category. This fund, marked by its very high-risk profile, is particularly appealing to investors looking for substantial growth potential over a long-term investment horizon.
Returns since inception: The fund has delivered returns of 20.02% per annum since its inception.
Minimum investment: You can start a SIP with a minimum investment of SIP ₹1000/month or do a lumpsum ₹1000.
Lock-in period: There is no lock-in period for this fund, allowing flexibility for investors.
Returns (p.a): As mentioned, the annual returns since inception are 20.02%.
Risk: Very high level of risk.
Assets under management (AUM): As of September 30, 2023, the fund has ₹44,038 Crores in AUM, classifying it as a medium-sized fund in its category.
Current Value: As of December 5, 2023, the fund’s Net Asset Value (NAV) stands at ₹68.32, showing a 0.5% change in one day.
2. Quant Large And Mid Cap Fund Direct-Growth
A balanced mix of large and midcap stocks, the Quant Large and Mid Cap Fund Direct-Growth aims for capital appreciation with a high-risk approach.
Returns since inception: 19.42% per annum.
Minimum investment: SIP – ₹1000, Lumpsum – ₹5000.
Lock-in period: No lock-in period.
Returns (p.a): Consistent returns, with a one-year return of 23.88%.
Risk: Very high risk.
Assets under management (AUM): ₹1,127 Crores.
Current Value: NAV as of December 5, 2023, is ₹100.93, with a 1.32% one-day change.
3. Mirae Asset Emerging Bluechip Fund Direct-Growth
A Large and Midcap equity fund, Mirae Asset Emerging Bluechip Fund Direct-Growth focuses on generating income and capital appreciation by investing in a mix of large and midcap Indian equities.
Returns since inception: The fund has achieved an average annual return of 22.87% since its inception.
Minimum investment: The minimum SIP investment is ₹1000.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): It has consistently delivered a one-year return of 21.88%.
Risk: The risk level of the fund is very high.
Assets under management (AUM): The AUM is ₹1,41,179 Crs as of September 30, 2023.
Current Value: The NAV as of December 05, 2023, ₹ 133.25, with a 0.5 % one-day change.
4. Axis Bluechip Fund Direct Plan-Growth
The Axis Bluechip Fund Direct Plan-Growth, a large-cap mutual fund, aims for long-term capital growth by predominantly investing in equity and equity-related instruments of large-cap companies.
Returns since inception: It has delivered an average annual return of 14.87% since inception.
Minimum investment: The minimum SIP investment is ₹100.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): The fund’s one-year return is 10.61%.
Risk: The risk level of the fund is very high.
Assets under management (AUM): The AUM is ₹30,734 Crores as of September 30, 2023.
Current Value: The NAV as of December 05, 2023, ₹ 55.87, with a 0.59% one-day change.
5. DSP Flexi Cap Fund Direct Plan-Growth
The DSP Flexi Cap Fund Direct Plan-Growth is designed to generate long-term capital appreciation by investing in a diversified portfolio of equity and equity-related securities.
Returns since inception: The fund has provided average annual returns of 15.66% since its launch.
Minimum investment: The minimum SIP investment is ₹500.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): The fund has shown consistent performance, with last year’s return being 24.59%.
Risk: The fund is categorized as having a very high risk.
Assets under management (AUM): The fund manages ₹8,856 Crores in AUM as of September 30, 2023.
Current Value: The NAV as of December 5, 2023, is ₹89.25, reflecting a 0.39% one-day change.
6. Quant Tax Plan- Direct-Growth Fund
The Quant Tax Plan Direct-Growth is an ELSS mutual fund that focuses on capital appreciation by investing predominantly in equity shares with growth potential.
Returns since inception: It has delivered an average annual return of 21.72% since its launch.
Minimum investment: The minimum SIP investment is ₹500.
Lock-in period: Being an ELSS fund, it has a 3-year lock-in period.
Returns (p.a): The fund’s one-year return is 19.60%.
Risk: The fund carries a very high risk.
Assets under management (AUM): As of September 30, 2023, the AUM is ₹4,957 Crores.
Current Value: The NAV as of December 5, 2023, is ₹334.88, with a 1.63% one-day change.
7. Kotak Equity Opportunities Fund Direct-Growth
The Kotak Equity Opportunities Fund Direct-Growth focuses on a mix of large and mid-cap stocks across various sectors, aiming for capital appreciation.
Returns since inception: It has delivered an average annual return of 17.31% since its launch.
Minimum investment: The minimum SIP investment is ₹500.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): The fund has demonstrated consistent performance with a one-year return of 23.44%.
Risk: The fund is categorized as having a very high risk.
Assets under management (AUM): The AUM is ₹15,261 Crores as of September 30, 2023.
Current Value: The NAV as of December 5, 2023, is ₹293.21, indicating a 0.49% one-day change.
8. Edelweiss Large & Mid Cap Direct Plan-Growth
The Edelweiss Large & Mid Cap Fund Direct Plan-Growth is a balanced equity fund that aims to provide capital appreciation by investing in a mix of large and mid-cap stocks.
Returns since inception: The fund has delivered 16.60% returns since its inception.
Minimum investment: The minimum investment for a SIP is ₹100, and for a lump-sum investment, it’s usually higher.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): Consistent with a 21.95% average annual return.
Risk: The risk level of the fund is classified as very high.
Assets under management (AUM): The AUM of the fund is ₹2,221 Crores as of October 31, 2023.
Current Value: As of December 6, 2023, the NAV of the fund is ₹7,71,180.
9. Motilal Oswal Focused Fund Direct-Growth
The Motilal Oswal Focused Fund Direct-Growth is a focused equity mutual fund aiming for long-term capital appreciation by investing in up to 30 companies with sustainable competitive advantage and growth potential.
Returns since inception: The fund has achieved average annual returns of 15.23% since its inception.
Minimum investment: The minimum SIP investment is ₹500.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): The one-year return of the fund is 15.33%.
Risk: The fund carries a very high risk.
Assets under management (AUM): The AUM is ₹1,651 Crores as of September 30, 2023.
Current Value: As of December 5, 2023, the NAV is ₹45.04, reflecting a 0.05% one-day change.
10. ICICI Prudential Gilt Fund Direct-Growth Plan
The ICICI Prudential Gilt Fund Direct-Growth is a debt fund focused on government securities, seeking to generate steady and consistent returns with a moderate risk profile.
Returns since inception: It has delivered average annual returns of 8.62% since inception.
Minimum investment: The minimum SIP investment is ₹1000, and the lump sum investment is ₹5000.
Lock-in period: There is no lock-in period for this fund.
Returns (p.a): The one-year return of the fund is 8.32%.
Risk: The fund carries a moderate risk level.
Assets under management (AUM): The AUM is ₹4,399 Crores as of September 30, 2023.
Current Value: As of December 5, 2023, the NAV is ₹96.32, showing a 0.04% one-day change.
Factors to Consider While Choosing the Best SIP Plans
Selecting the best SIP (Systematic Investment Plan) requires careful consideration to align with your financial goals and risk tolerance. Here are key factors to consider:
- Investment Objective: Match the SIP with your financial goals, whether short-term or long-term.
- Fund Performance: Look at the historical performance of the fund across different market phases.
- Risk Appetite: Choose funds that align with your risk tolerance level.
- Fund House Reputation: Opt for SIPs from well-established and reputable fund houses.
- Expense Ratio: Lower expense ratios can mean higher net returns.
- Fund Manager’s Expertise: A fund manager’s track record and experience are crucial.
- Asset Allocation: Ensure the fund’s asset allocation suits your investment strategy.
Final Thoughts
Identifying the best SIP for 15 years requires a blend of strategic planning and informed decision-making. Whether you’re evaluating the best SIP plan for 15 years or thinking about which SIP is best for 15 years, it’s crucial to consider various factors like fund performance, risk tolerance, and fund manager expertise.
Ultimately, choosing the best SIP to invest for 15 years is a personalized process tailored to align with your individual financial goals and investment preferences.
