Becoming a crorepati by investing in mutual funds is an achievable dream with the stock market performing well. Investors in mutual funds have several options to maximise their returns.
Achieving millionaire status through mutual fund Systematic Investment Plans (SIPs) requires careful consideration of factors such as the investment amount, duration, and expected rate of return. The longer you invest, the more your money can potentially grow due to the power of compounding. Historically, equity mutual funds have shown annual returns of approximately 12-15%.
The Aditya Birla Sun Life Digital India Fund has showcased impressive performance over the years, enabling investors to grow their monthly SIP investments into a substantial corpus. Launched on January 15, 2000, this open-ended equity scheme focuses on investing in sectors such as Technology, Telecom, Media, Entertainment, and related ancillary sectors. Since its inception, the fund has delivered returns of 12.47 per cent.
If an individual had consistently invested Rs 2600 per month in the scheme since its inception, their investment would now be worth Rs 1,02,01,810, yielding an annualised return of 17.16%. Out of the total corpus of Rs 1.02 crore, Rs 7,80,000 would represent the total amount invested over a period of 25 years.
In the past year, the Aditya Birla Sun Life Digital India Fund has yielded gains of 18.50 per cent, while it has delivered 9.01 per cent returns over the last 3 years. The fund’s returns over the past 5, 7, and 10 years stand at 27.86 per cent, 23.56 per cent, and 19.20 per cent, respectively.
Aditya Birla Sun Life Digital India Fund details
The scheme’s main objective is to achieve long-term capital growth by maintaining a portfolio allocated primarily to 100 per cent equity. Additionally, it aims at generating income and distributing IDCW as per the scheme’s documentation. Investors have been rewarded with attractive returns due to the fund’s performance.
The fund is a sector-specific mutual fund designed to target investments in the rapidly expanding technology industry. This fund primarily focuses on strong companies operating in the IT sector, including tech firms and technology-dependent companies such as hardware, software, e-commerce, telecommunications, media, and gaming enterprises.
The scheme’s portfolio comprises top stocks such as Infosys, Tata Consultancy Services (TCS), Bharti Airtel, Tech Mahindra, and LTIMindtree.
Returns at a glance
6 months 12.67% 13.9%
1 year 22.47% 32.32%
3 years 8.98% 11.33%
5 years 28.91% 29.36%
7 years 24.74% 25.29%
10 years 20.04% 19.05%