SIP for daughter's future

A ₹5,000 monthly SIP in a small-cap mutual fund could help fund a daughter's education, marriage, and other life goals by age 25.

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Historical small-cap returns

The Nifty Smallcap 250 Total Return Index delivered 14.51% annualised returns over five years and 15.63% since April 2016.

Record mutual fund inflows

Total mutual fund inflows reached ₹32,490 crore in September 2026, with equity inflows rising 31%.

SIP vs bank deposit returns

At 15% annual returns, a ₹5,000 monthly SIP could grow to ₹74.9 lakh after 20 years versus ₹29.5 lakh at 8% bank deposit rates.

Market risks and volatility

Small-cap mutual funds carry significant market risks and can experience substantial fluctuations and losses.

Inflation impact

The purchasing power of ₹29.5 lakh or ₹74.9 lakh after 20 years will be lower than today's value due to inflation.

Compounding power

Time, patience, and regular investments help compounding build wealth over 20 years with modest monthly contributions.

Fund selection criteria

Investors should compare fund manager details, past performance, expense ratios, and portfolio volatility before investing.

Behavioral discipline

Starting early and tolerating market volatility without short-term decisions is key for long-term success.

Investment advice

Consult a qualified financial adviser before investing in small-cap mutual funds to assess risk tolerance and goals.