Mutual Funds: How to earn Rs 1 crore faster with this 15-15-15 formula

financialexpress.com:

Over the last few years, mutual fund investment has emerged as one of the most sought-after ways to accumulate wealth, and this is evident from the official data from AMFI showing a record rise in the number of folios and assets under management (AUM) of fund houses.

More and more people are opting for mutual funds to meet their short-term and long-term financial goals based on their risk appetite, as there are thousands of schemes available in the market. One reason why the mutual fund route to make money is getting popular is that investors want to make money from stock markets, but they don’t want to take that risk to directly invest in equities for various reasons. However, the mutual fund path gives them the freedom to invest in equities and also protects them from uncertainty to a large extent as they have options to choose from as per their risk-taking capacity.

Mutual funds give investors an edge over other traditional investment tools like PPF, NPS, fixed deposits and other savings schemes in terms of return on their investments (RoIs), provided they are willing to take some risks associated with stock market investing.

Also Read: Mutual funds to fixed deposits, where to invest for 5-year financial goals?

Another benefit mutual funds provide to investors is that they can start with an investment of as little as Rs 500 and increase it over time as their income grows. However, to take advantage of compounding and build a substantial corpus, one must invest a decent amount every month to reach that goal. For instance, if you aim to accumulate Rs 1 crore through mutual funds, you need to select some good equity funds and assess their past performance.

Assuming an equity fund offers a 15% annual return, you would