There are various investment opportunities in the stock market not only for getting rich, but also for regular monthly income. Just as SIP helps you save a large amount for the future by investing every month, SWP (Systematic Withdrawal Plan) gives you a fixed income every month by investing a large amount once.
SWP is basically an investment system where you deposit a large amount at a time, and from there you can withdraw a certain amount every month. The biggest advantage is that your capital does not decrease very quickly, because the return received from the market largely covers the loss of capital.
How to get 50,000 rupees per month?
If your monthly requirement is 50,000 rupees and you want the main investment not to decrease, then SWP can be the ideal plan. In this case, some factors depend. For example, what percentage return are you getting on average in mutual funds, how much money is required in a year, or how many years will you run the SWP.
Let’s say you are getting an average return of 8% per year and your annual requirement is 6 lakh taka.
Then the calculation says that to maintain this income at 8% return, you will need to invest 75-80 lakh taka.
- If the average return is 10%, you need Rs 60-65 lakh.
- And if the return is 12%, then Rs 50-55 lakh is enough.
How much SIP will it take to deposit Rs 80 lakh?
Those who do not have such a large amount in their hands right now can reach this goal gradually by doing SIP.
- If you do an SIP of Rs 17 thousand-18 thousand per month at a 12% return, you will accumulate Rs 80 lakh in 15 years.
- If you do an SIP of Rs 9 thousand to 10 thousand per month at a 12% return, you will accumulate Rs 80 lakh in 20 years.
- In other words, if you have time and regular investment, it is possible to create the necessary funds for SWP.
Special Warning: It is essential to consult your financial advisor before investing in the stock market or mutual funds. Market fluctuations can affect any plan.