What is the 15-15-15 rule in Mutual Funds? - ICICIdirect (2024)

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What is the 15-15-15 rule in Mutual Funds? - ICICIdirect (2024)

FAQs

What is the 15-15-15 rule in Mutual Funds? - ICICIdirect? ›

Meaning of the 15-15-15 rule in Mutual Funds

What is the 15x15x15 rule in mutual funds? ›

What is the 15-15-15 rule in mutual funds? The rule says that an investor can create a corpus of around one crore rupees by investing Rs. 15,000 per month for 15 years in a mutual fund that can generate 15% average returns based on the power of compounding.

What is the 15 * 15 * 30 rule in mutual funds? ›

The 15x15x30 rule of mutual funds involves investing Rs 15,000 per month for a period of 30 years in a fund that offers a 15% annual return. As per experts, this can give the investor an opportunity to accumulate Rs 10 crore against 1 crore.

Can we get a 15% return on a mutual fund? ›

As you know there are no fixed returns in mutual funds but you can expect around 8% - 10% in Debt hybrid funds, around 10% - 12% in equity hybrid funds and 12%-15% in equity funds if you have a long-term horizon.

What happens if I invest $15,000 a month in SIP for 15 years? ›

Consider investing Rs 15,000 per month for 15 years and earning 15% returns. After 15 years, the total wealth will be Rs 1,00,27,601 (Rs. 1 crore). According to the compounding principle, if we implement these very same returns and contributions for another 15 years, the amount we accumulate grows enormously.

What is the 80 20 rule in mutual funds? ›

One way is to allocate 80% of your portfolio to low-risk, diversified assets, such as index funds, and 20% to high-risk, high-reward assets, such as individual stocks or cryptocurrencies. This way, you can balance stability and growth, while limiting your exposure to losses.

What is the new rule for mutual fund investors? ›

Investors need to update their KYC with Aadhaar to purchase new MF units from 2024-25 under SEBI rules. Checking KYC status with KRAs such as CAMS, Karvy, CVL, and NDML is crucial for continued access to MF investments.

Should a 70 year old invest in mutual funds? ›

Conventional wisdom holds that when you hit your 70s, you should adjust your investment portfolio so it leans heavily toward low-risk bonds and cash accounts and away from higher-risk stocks and mutual funds. That strategy still has merit, according to many financial advisors.

What if I invest $5,000 in mutual funds for 5 years? ›

If you invest Rs. 5,000 per month through SIP for 5 years, assuming 12% return. The estimate total returns will be Rs. 1,12,432 and the estimate future value of your investment will be Rs. 4,12,431.

What if I invest $1,000 a month in mutual funds for 20 years? ›

If you invest Rs 1000 for 20 years , if we assume 12 % return , you would get Approx Rs 9.2 lakhs. Invested amount Rs 2.4 Lakh.

What if I SIP $30,000 per month for 5 years? ›

If you invest ₹30,000 per month in a Systematic Investment Plan (SIP) for a period of 5 years, assuming an average annual return of 12% on your SIP investment, using the SIP calculator, your returns will be: Your invested amount will be: ₹18,00,000. Estimated Returns will be will be: ₹6,74,591.

What if I invest $10,000 in SIP for 5 years? ›

Here is a fund which has delivered superior returns over a five year period outperforming the index it is benchmarked against. An investment of Rs 10,000 per month via systematic investment plan (SIP) route over a period of five years in Quant Small Cap Fund's growth is worth nearly Rs 19 lakh today.

How to make 1 crore in 15 years through SIP? ›

The rule says to achieve the goal of earning Rs 1 crore, an investor should invest Rs 15,000 monthly through SIP for 15 years, considering a 15% annual return from an equity fund. Consistent adherence to this strategy can lead to significant wealth accumulation.

What is the 75 5 10 rule for mutual funds? ›

Diversified management investment companies have assets that fall within the 75-5-10 rule. A 75-5-10 diversified management investment company will have 75% of its assets in other issuers and cash, no more than 5% of assets in any one company, and no more than 10% ownership of any company's outstanding voting stock.

What is the 3 5 10 rule for mutual funds? ›

Specifically, a fund is prohibited from: acquiring more than 3% of a registered investment company's shares (the “3% Limit”); investing more than 5% of its assets in a single registered investment company (the “5% Limit”); or. investing more than 10% of its assets in registered investment companies (the “10% Limit”).

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