I have been investing for 10 years in a mutual fund and as of now, my corpus is 5 cr. I would like to reach 100 cr in the next 10 years. if you can suggest approximately how much I need to invest to reach my target in the next 10 years. I prefer to invest in mutual funds because I don't have much knowledge of stocks and also do not have time to research. I would like to invest in lumpsum and sip.

Ans: Congratulations on building a significant corpus over the past decade! Reaching 100 crores in the next 10 years is an ambitious goal, but with a strategic approach, it's achievable. Let's evaluate your options:

Given your preference for mutual funds and your desire for a hands-off approach, SIP (Systematic Investment Plan) is an excellent choice. It allows you to invest regularly without the need for extensive research or monitoring.

To estimate how much you need to invest, we'll consider factors like your expected rate of return and the time horizon. Assuming an average annual return of 12%, which is ambitious but feasible for equity mutual funds over the long term, we can proceed with the calculation.

With a corpus of 5 crores already and a goal of 100 crores in 10 years, you'll need to grow your investment by approximately 20 times. This requires an annualized return of around 26%, factoring in the power of compounding.

For simplicity, let's focus on SIP investments. To reach your goal, you may need to invest a substantial amount monthly. However, it's essential to ensure that the investment is within your financial means and risk tolerance.

I recommend consulting with a Certified Financial Planner to create a personalized investment plan tailored to your goals and risk profile. They can help you choose suitable mutual funds and allocate your investments effectively between lump sum and SIP.

Remember, investing involves risks, and past performance is not indicative of future results. Stay committed to your investment plan and review it periodically to make necessary adjustments.

With dedication and prudent planning, you can work towards achieving your financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in