mutual fund Investing in is considered to be the most suitable way for wealth creation. The main reason behind this is compounding which gives small investments the opportunity to grow manifold in the long run. This happens so that in the first few years, the returns add up to the investment and the fund grows at a faster pace. Today we are telling about one such mutual fund scheme of Tata Group, which has turned investors’ Rs 1 lakh into Rs 41 lakh.
Tata Hybrid Equity Fund
Tata Hybrid Equity Fund was launched on 8 October 1995 i.e. 28 years ago. The fund has given excellent returns to its investors. For example, in the last one year the scheme has given a return of 25.08 per cent, which means if an investor had invested ₹1 lakh in the scheme, it would have grown to ₹1.25 lakh. Similarly, in a period of 3 years, this scheme has given an annual return of 15.62 percent. This means that if someone has invested ₹1 lakh in the scheme, it grows to ₹1.54 lakh over a period of three years.
Similarly, if an investor had invested ₹1 lakh in Tata Hybrid Equity Fund five years ago, it would have grown to ₹2.04 lakh. The same investment of ₹10 lakh, over a period of 10 years, would have grown by 3.5 times. Similarly, an investment of Rs 1 lakh would have grown 12.3 times over a period of 20 years.
made investors rich
If someone had invested ₹ 1 lakh in 1995, today his investment would have increased by more than 41 times i.e. ₹ 41.82 lakh. However, it is important to note that past returns do not guarantee future returns. In other words, if a fund has given exceptionally good returns so far, it would not be wrong to say that the same pace of returns may continue in the future.
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