Mutual funds are by far the most popular investment vehicle. They give better returns than savings accounts and Fixed Deposits. Given that mutual funds have become popular in India as of 2021 and the slew of IPOs in the country, a mutual fund returns calculator became an important tool to have on hand.
This tool was responsible to calculate the returns you stood to receive on the investment that you made. Hence, we will look at how a mutual fund calculator is a useful tool to have and how it can help you.
First of all, there are various mutual fund return types. These are:
It can be very confusing for any investor to have in mind all these return types and the ways to calculate them, so, we can look at the mutual fund calculator and use it instead! So without further ado, here are the 5 ways in which a mutual fund calculator can help you.
There is no need to remember the many complicated calculations for lumpsum and SIP. All you have to do is enter the values into the calculator and it will give you the estimated returns. Remember that the estimated returns may not be the exact returns that you will get, as mutual funds are subject to market risk.
A returns calculator can help you to plan your finances properly. You can estimate how much you need to save or invest in the long run.
The calculator is extremely user-friendly and requires no special knowledge to utilise it. All you have to do is enter the values and the tool will do the calculation on your behalf. Hence, make use of the tool to estimate your returns.
With the mutual fund returns calculator, you can be cautioned as an investor. Since it helps you to plan for the future, you can see your expected returns and then decide what decisions to take.
The calculator can be used for both SIP and lump sum calculations. Hence, you can easily use it for financial planning.
The mutual fund calculator is very beneficial for the 5 reasons that are discussed above. However, the chief reason they are very important is that they help in financial planning for the long term. Hence, utilise this tool from Money Assist only today.