Crorepati dreams are made of this! Your Rs 15,000 can become Rs 4 crore? Read these mutual fund plans, say experts

Becoming a crorepati takes a little bit of confidence, taking the right decision and then showing some patience by continuing to save and invest in a disciplined way! And then your dreams will come true! Mutual fund investments are subject to market risk but in the long-term horizon, this risk factor goes down as the averaging of the NAV minimises the risk factor involved in mutual fund investments. Therefore, if someone begins investing with a small amount, it can become a big maturity amount after a certain period. According to tax and investment experts, long-term mutual funds give at least 12 per cent returns in terms of profit, however, in certain cases, it may even go up to whopping 16 per cent!

Speaking on how to achieve Rs 4 crore target in long-term horizon, especially for those who are in the early phase of their career and want to have that sum in their retirement corpus, Sourab Kumar, a Mumbai-based tax and investment expert said, "Achieving Rs 4 crore target in 25 years means an investment of Rs 25,000 per month. Even if the time horizon is extended to 27 years, this falls to Rs 20,000 per month. I would recommend you start with Rs 15000 a month and keep increasing to the maximum extent possible every year to help get closer to the Rs 4 crore figure.  If the investor doesn’t want to keep tracking one's mutual funds, he or she can consider a mix between a couple of low-cost funds. I would recommend them to do some reading to understand the differences in these funds first- ICICI Pru Nifty Next 50 Index, Axis Nifty 100 (currently in NFO stage, ends today), DSP Quant, Motilal Oswal Nifty 500."

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Speaking on the benefit of the incremental rise in the annual investment Kartik Jhaveri, Manager — Wealth Management at Transcend Consultants said, "One should increase one's investment in sync with one's income. It helps a mutual fund investor to avail of the compounding benefits and at the same time increase his or her investment and wealth gained in the same period." As an investor, one will make gains when the value of each unit of investment goes up.