Best Mutual Fund SIP: Start SIP at the age of 25... You will be the owner of 44 lakhs at the age of 35, understand the complete maths here.

Best Mutual Fund SIP: According to the report, 'Quant Small Cap Fund' was at the forefront of these mutual funds, which gave a CAGR return of 24.56 percent in 10 years.

Best Mutual Fund SIP: The trend of investing in mutual funds through SIP has increased at a record pace in India in the last few years. In April 2016, where Rs 3,122 crore was invested every month through SIP, now this figure has increased to Rs 26,000 crore. That is, there has been an increase of more than eight times in the last few years.

The biggest reason for this is its simplicity, investing a fixed amount every month, that too without worrying about the market movement. This is the reason why today it has become the first choice of middle-class and small investors.

SIP created a fund of 44 lakhs

According to financial data, if an investor had done a SIP of 10,000 every month for the last 10 years, then today his investment could have reached 44 lakhs. Many top equity mutual funds have given an annual return (CAGR) of more than 20 percent in the last decade.

These top-10 funds gave the best SIP returns

According to the report of Financial Express, 'Quant Small Cap Fund' was at the forefront of these mutual funds, which gave a CAGR return of 24.56 percent in 10 years. It was followed by Nippon India Small Cap Fund (22.93 percent) and Quant ELSS Tax Saver Fund (21.74 percent). Quant ELSS Tax Saver Fund was at the third position, it has also given an annual return of 21.74 percent.

Dominance of midcap funds

Quant funds were also seen dominating the midcap segment. Quant Mid Cap Fund has given an annual return of 21.60 percent. Motilal Oswal Midcap Fund has performed well with a return of 21.47 percent. Apart from this, infrastructure funds also did not lag behind.

Funds focusing on the infrastructure sector have also performed well. Among these, ICICI Prudential Infrastructure Fund has given an annual return of 21.37 percent. Whereas, Invesco India Infrastructure Fund and Franklin Build India Fund have also given an annual return of 20.67 percent and 20.60 percent. Nippon India Growth Fund has made it to the list of top 10 funds with an annual return of 20.38 percent.

Caution and patience are necessary

Financial experts believe that SIP is not a guaranteed return scheme. Market volatility definitely affects it, but in the long term these fluctuations get averaged, which gives better potential returns.

Who should do SIP?

SIP is considered better for those who have regular income and who can continue investing for a long period. SIP is a wise option for youngsters, working people and investors planning for big financial goals.