Started investing in SIPs for 3 years. Investment started from July’23 onwards.
Please advice if the below funds are good to continue. Also let me know the expected return after 3 years.
Quant Midcap Fund Direct Growth = 1500/- per month
SBI Small Cap Fund Direct Growth = 1000/- per month
Ans: Embarking on an SIP journey is much like planting a sapling with hopes of seeing it grow into a robust tree over time. Your commitment to investing regularly shows foresight and discipline.
The funds you've chosen, representing mid-cap and small-cap segments, reflect a balanced approach to growth potential and risk. Mid-cap funds often carry moderate risk with the potential for higher returns, while small-cap funds can be more volatile but offer greater growth prospects. It's like choosing between a steady-paced jog and a sprint in a marathon; both have their merits and challenges.
However, while the past doesn't predict the future, historically, mid-cap and small-cap segments have shown promising returns over longer horizons. Still, it's essential to monitor their performance periodically. Market dynamics can shift, and what's favorable today may change tomorrow.
In essence, your choices seem aligned with a growth-oriented strategy. With patience and periodic reviews, you're on track to nurture your financial tree into a flourishing asset.