Can I invest 20000 in mutual funds?

To maintain your current lifestyle even after retirement you need to invest Rs 20,000 every month for the next 20 years in diversified large-cap mutual funds through the systematic investment plan (SIP).

What should I invest in with 20K?

What’s the best way to invest 20K?

• Growing your emergency fund with a high-yield savings account.
• Paying off debt.
• Padding your retirement account.
• Investing with a robo-advisor.
• Investing in a traditional brokerage account.
• Investing in real estate.
• Loaning money using a peer-to-peer lender.

What is the basic amount to invest in mutual funds?

50,000, investors are required to complete the physical KYC process. You can start investing in a mutual fund for as low as Rs. 5,000 (lump sum) and Rs. 500 for a monthly SIP (Systematic Investment Plan).

How do I invest my monthly return?

Best Monthly Income Investments Through 2022

1. Certificate of Deposit (CDs)
2. Short-Term Corporate Bonds.
3. Long Term Corporate Bonds.
4. International Bonds.
5. US Treasury Bonds, Bills and Notes.
6. Municipal Bonds.
7. Floating Rate Funds.
8. Money Market Funds.

Should I invest Rs 20000 every month in mutual fund SIP?

Investing Rs 20000 every month means different things to different people. For those with a salary of Rs 50,000, it means a lot (40\% of salary). But for someone with Rs 3 lac monthly income, it’s next to nothing (~7\% of income)! In any case, investing in mutual fund SIP is a good decision and you will create a lot of wealth.

How much should I invest in mutual funds?

Currently, you are investing 20\% of your combined money in mutual funds. It would be wise to increase this amount to 40-50\%. This is because long-term investments in equity can yield much higher returns, to the tune of 12-15\% annually, and downplay the effects of inflation on your corpus.

What is the best way to invest in equity?

And if you believe in the power of equity, then for most common people, the best way to invest regularly in equity is to do via mutual fund SIPs. If you wish to create a portfolio of mutual funds by doing a SIP of 20000 per month, it’s suggested not to have too many funds.

Will my monthly SIP investment of Rs 2000 turn into lakhs?

So, to finally answer your question, your monthly SIP investment of Rs 2000 has the potential to turn into lakhs if you stay invested for half a decade. If you want to further multiply your earnings, you must aim to increase your SIP amount gradually with an increase in your income.