The Aditya Birla SIP calculator is an essential tool to help mutual fund investors make the most of their investments through accurate estimations. One of the major reasons for the popularity of this calculator is that it gives investors the flexibility to select their own mode of investment and to estimate how the investment could turn out.
The SIP route of investing is affordable and can be started by any investor. The Aditya Birla Mutual Fund calculator allows the investor to estimate the future value of the investment, which encourages the investor to kickstart the investment.
The tool is free to use and offers responses almost instantly. It can also mitigate the effects of short-term market movements on investments through long-term planning.
The formula that is used to calculate the SIP returns is:
A = P × (1+r/100)^n
P = The Principal amount invested through SIP
r = The assumed annual rate of return
n = The number of SIP instalments
This example uses the formula to estimate the returns from the investment in the Aditya Birla mutual fund.
P = Rs. 11,000
r = 10%
n = 5 Years
A = Rs. 11,000 × (1+10/100)^5
Total Value = Rs. 8,58,906.
You can follow the simple steps provided below:
Step 1: Navigate to the online calculator.
Step 2: Input the investment tenure, expected rate of return, and the SIP amount you wish to invest.
Step 3: The estimated value will be displayed on your screen.
The benefits of using this calculator are:
Provides a Near-accurate Estimate of the Fund: The calculator can give the approximate result of the fund's future performance, which offers the investor a sense of assurance.
It is Available Online for Free: The calculator can be used anytime and anywhere.
Helps Compare Investments: You can use it to compare mutual funds or other assets.
Helps to Make Informed Decisions: It also helps to make informed decisions about the investment, such as the suitable tenure, required SIP amount, and much more.