Mutual Fund Calculator: Know the Returns of your MF Investment (2024)

What is a Mutual Fund?

A Mutual Fund is a professionally managed investment scheme run by an asset management company (AMC). The AMC collects the money from investors and invest it in Equity, Bonds, money market instruments, and other types of investment option on their behalf. The AMC charge a fees for these services. Investors get specific number of NAV (units) proportionate to the invested amount in the fund. The loss, income/ gain of this mutual fund scheme share by the each investor according to their investment proportion.

What is an Mutual Fund Calculator?

Mutual fund Returns calculator is an online tool that helps you to calculate the returns from a mutual fund investment. Whether the investment is a lump sum or an SIP route, the returns can be easily calculated using a mutual fund calculator.

By inputting investment amount, interest rate, and tenure, Mutual Fund calculator forecasts potential returns, enabling you to plan finances and reach financial goals. For SIP investments, details required include SIP amount, investment duration, SIP frequency, and estimated rate of return. For lump sum investments, inputs needed are total investment amount, expected rate of return, and investment duration, providing a clear picture of the final maturity amount.

How does a Mutual Fund Total Return Calculator Work?

The Mutual Fund Return Calculator uses the future value formula to provide accurate estimate of the maturity value of your investment. Here are calculation examples for both the investment strategies.

One-Time lump sum Investment Calculation

SIP Investment Calculation

Example: You have invested a lump-sum amount of Rs 1 lakh in a mutual fund scheme for 10 years. You have estimated the rate of return on the investment at 8% per annum. You can calculate the future value of the investment using the formula:Example: You invest Rs 1,000 a month in a mutual fund scheme using the systematic investment plan or SIP route. The investment is for 10 years, with an estimated rate of return of 8% per year.

Future Value (FV) = Present Value (1 + r/100)^n

  • Present Value (PV) = Rs 1,00,000
  • r = Estimated rate of return of 8% = 8/100 = 0.08
  • n = Duration of the investment which is 10 years.

Future Value =P[(1+i)^n-1]*(1+i)/i

  • P = Amount you invest through SIP
  • i = Compounded rate of return
  • n= Investment duration in months
  • r = Expected rate of return

You have to calculate the Future Value (FV) of the mutual fund investment at maturity or after 10 years.

FV = 1,00,000 (1+8/100)^10

FV = Rs 2,15,892.5.

You have i = r/100/12 = 8/100/12 = 0.006667. (You must convert the rate of return to the monthly figure through dividing by 12). You also have n = 10 years or 120 months.

FV = 1,000 [(1+0.006667)^120 – 1] * (1+ 0.006667)/0.006667

FV = Rs 1,84,170.

How can Online Mutual Fund Calculator Help you?

Before you invest in a mutual fund scheme, it is a good practice to assess your return on investment. For doing so, a mutual fund calculator is the best tool as it is simple and easy to operate. Even if you are using it for the first time, you will not encounter any troubles. Check out how it helps you.

  • A MF calculator will provide you with the total estimated return for 1, 3 and 5-year investment horizons.
  • It assists you in planning your future financial strategy based on the estimated returns.

How to use ClearTax Mutual Fund Calculator?

You can effortlessly use the ClearTax Mutual Fund Calculator based on the nature of your investment.

Lump-Sum investment:

  • Select the One-Time Investment (Lump Sum) option in the ClearTax Mutual Fund Calculator.
  • Provide the details of amount of investment, expected rate of return and the duration of the investment.
  • CearTax Mutual Fund Calculator will show you the value of the investment at maturity with a breakup of invested amount and earned interest.

SIP investment:

  • Choose the SIP option in the ClearTax Mutual Fund Calculator.
  • Now fill the amount of investment, frequency of the SIP, expected rate of return and the duration of the SIP.
  • ClearTax Mutual Fund Calculator will tell you how much you are going to have at maturity of investment.

Advantages of Using a Mutual Fund Return Calculator

Using a mutual fund return calculator has the following benefits:

  • User-Friendly Interface: The tool is extremely user-friendly, requiring you to input only three key details: the amount of investment, the duration of the investment, and your preferred investment strategy. This simplicity enables you to swiftly determine your potential returns.
  • Cost-Free Access: Access to the online mutual fund calculator is completely free. There are no charges for its use, allowing you unlimited access to evaluate and plan your investments.
  • Efficiency: Calculating returns on investments manually, whether it’s through systematic investment plans (SIPs) or one-time lumpsum payments, can be arduous and time-killing. Utilizing an online mutual funds calculator streamlines this task, delivering your projected returns almost instantly.
  • Enhanced Comparison Capabilities: This tool offers the capability to evaluate returns from different investment methods—either SIPs or lumpsum investments. By entering various amounts, durations, and strategies, you can assess multiple investment scenarios quickly, aiding in informed decision-making.
  • Goal Setting Assistance: It helps in your financial planning by showing the the future value of your investments. It also allows for adjustments in the investment period and expected rate of return, helping tailor your investment plan to meet your financial goals.

How to Invest in Mutual Funds?

You can invest in mutual funds through different routes.

  1. Direct Plans: You can approach the asset management company (AMC) and invest in the direct plan of your choice. These plans have a low expense ratio because they don’t charge a distributor commission. Hence, you can earn a better rate of return over the long-term.
  2. MF Distributor: You can contact a registered mutual fund distributor who will help you out with the requisite documentation. You will be investing in a regular plan which will charge a distributor’s commission.
  3. Online: There are several third-party portals available online. You can visit any of them and invest in a variety of mutual funds by paying a nominal fee.
Other Calculators
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NPS CalculatorSIP CalculatorSCSS Calculator
CAGR CalculatorROI CalculatorEMI Calculator
Lumpsum CalculatorFuture Value CalculatorSWP Calculator
Kisan Vikas Patr CalculatorRetirement Planning CalculatorCompound Interest Calculator
Mutual Fund Calculator: Know the Returns of your MF Investment (2024)

FAQs

How do I check my MF return? ›

Future Value (FV) = Present Value (1 + r/100)^n
  1. Present Value (PV) = Rs 1,00,000.
  2. r = Estimated rate of return of 8% = 8/100 = 0.08.
  3. n = Duration of the investment which is 10 years.

How to calculate return on investment in mutual funds? ›

With a compounded annual growth rate or CAGR, you can calculate the average rate of growth for an investment period of more than 12 months, the formula is {[(current NAV/beginning NAV)^(1/the number of years)]-1} x100. If your investment is in months, you can replace 1/number of years with 12/number of months.

How to calculate the total return of a mutual fund? ›

To calculate the investment's total return, the investor divides the total investment gains (105 shares x $22 per share = $2,310 current value - $2,000 initial value = $310 total gains) by the initial value of the investment ($2,000) and multiplies by 100 to convert the answer to a percentage ($310 / $2,000 x 100 = ...

What if I invested $1000 in S&P 500 10 years ago? ›

Over the past decade, you would have done even better, as the S&P 500 posted an average annual return of a whopping 12.68%. Here's how much your account balance would be now if you were invested over the past 10 years: $1,000 would grow to $3,300. $5,000 would grow to $16,498.

How do I find the return on my portfolio? ›

The portfolio return formula calculates the overall return of a portfolio by considering the weight of each investment and their respective returns. Multiply the weight of each investment by its return and sum up these weighted returns to calculate the portfolio return.

How do I calculate my investment return? ›

Return on investment (ROI) is an approximate measure of an investment's profitability. ROI is calculated by subtracting the initial cost of the investment from its final value, then dividing this new number by the cost of the investment, and finally, multiplying it by 100.

How much to invest to get $50,000 per month? ›

Assuming the average annual dividend yield to be 7%*, you would need to invest INR 85,00,000 to get approximately INR 50,000 per month. *The average dividend rate is calculated from the top 15 dividend-yielding stocks.

What is a good return on mutual funds? ›

A 10% return on a mutual fund can be considered good, especially if it aligns with the investor's financial goals and risk tolerance. However, individual expectations and market conditions play a significant role in determining what is considered satisfactory.

How to calculate return on mutual fund investment in Excel? ›

The following is the process for calculating SIP returns in MS Excel:
  1. Decide on the fixed SIP amount.
  2. Decide on the period.
  3. Note down the NAV values for that period.
  4. Calculate the number of units.
  5. Calculate the total amount based on units.

What would happen if I invested $1000 in co*ke 10 years ago? ›

You would have more than doubled your money, with a total investment worth of $2,029.55. That's a 103% return, or a 7.23% annual rate of return.

What if I invested $1 000 in Tesla 10 years ago? ›

This means that your $1,000 10 years ago — technically, $1,002 — would have bought 60 shares of Tesla. As of Mar. 3, 2024, those 60 shares of Tesla would be worth $12,158.40. That marks a 28.342% annual rate of return.

How much money do I need to invest to make $3,000 a month? ›

Imagine you wish to amass $3000 monthly from your investments, amounting to $36,000 annually. If you park your funds in a savings account offering a 2% annual interest rate, you'd need to inject roughly $1.8 million into the account.

How do I check my MF status? ›

Ways to Check Mutual Fund Status with Folio Number
  1. Check Your Mutual Fund Status Online. You can sign in to the AMC's website or apps. ...
  2. Check Fund Status Through AMC Customer Care. ...
  3. Check the Status Through the Registrar's Website. ...
  4. Contact Your Broker to Check Status. ...
  5. Check Through the Consolidated Account Statement.
Jun 10, 2024

How do I get my monthly mutual fund return? ›

Yes, you can earn monthly income from mutual funds through two main ways: dividend option and systematic withdrawal plan (SWP). The dividend option distributes a portion of the fund's profits to investors periodically, while SWP allows you to withdraw a fixed amount from your investment at regular intervals.

How to track mf portfolio? ›

Ways to Monitor Your Portfolio
  1. Online Portfolio Trackers. An online portfolio tracker serves as a valuable tool for monitoring the performance of your mutual fund investments. ...
  2. Website of AMC. This is another way to keep a tab on your mutual fund portfolio. ...
  3. Consolidated Account Statement (CAS) ...
  4. Mutual Fund Factsheet.
Dec 22, 2023

How do I check my capital gains on mutual funds? ›

Here's how they can retrieve it:
  1. Step 1: Visit the official website of the respective mutual fund company.
  2. Step 2: Log in using the provided credentials.
  3. Step 3: Once logged in, download the capital gains report for mutual funds from the website.

References

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