HSBC SIP Calculator 2024

HSBC SIP calculator

Planned investments are the core of a sound financial plan. Mutual funds are the best vehicle to build an investment corpus. One of the popular way of investing in Mutual funds is through investing in SIP, which allows you to predetermine the amount at a certain interest rate. Before investing, it is crucial to calculate the returns and future value to ensure it is alignment with your financial goals. For that purpose, you can make use of HSBC SIP calculator to determine the future value of your SIP investment at HSBC Mutual Funds

Why should you invest in HSBC SIP?

Systematic Investment Plans (SIPs) are small and regular contributions towards mutual funds at predetermined intervals. Over a period of time, the cumulative investments, could compound into a large sum.

Benefits of Investing in SIP

• Power of Compounding: Regular investments help grow your money through the power of compounding
• Disciplined approach: Investments should be made at regular intervals thus fostering a healthy savings habit
• Convenience: If you issue mandate to your bank, then the amount shall be automatically deducted

Advantages of HSBC SIP Calculator

• Easy to Use: The calculator is simple and intuitive, where you need to enter basic details in order to get your investment return value
• Goal setting: Helps in setting realistic goals by providing clear projection of your potential returns
• Informed Decision Making: The calculator allows you to input details for different funds through which you can get an idea about the returns for various funds and finally, pick the one that aligns with your financial goals
• Instant Results: Say goodbye to tedious manual calculations, save time by getting instant results

How does a HSBC SIP Calculator works?

1. Input Details: Enter the monthly investment amount, the investment period, and the expected rate of return.
2. Calculation: Once you enter the details, get a complete view of your investments and its potential returns and the total maturity value
3. Result: Get the approximate SIP returns, and plan your investments

The calculator uses a simple formula to calculate the SIP returns

FV = [P x r x (1 + i) ^ n – 1]/i} x (1 + i)

In which,

• FV=Future value of your investment
• P=SIP amount every month
• I=Compounded rate of return
• r=Expected rate on return

For example, suppose you make a SIP investment of Rs. 12000 for the duration of 15 years with expected returns of 13%. The calculator will instantly provide you with the future value of your investment

Invested amount – ₹21,60,000

Estimated Returns – ₹45,08,175

Total value – ₹66,68,175

FAQ on HSBC SIP Calculator

1. What if I want to change my SIP amount or investment frequency later? 

You can adjust your SIP amount or investment frequency anytime, but it is best advised to check the fund website

2. Can I invest in multiple funds through the HSBC SIP Calculator? 

You can invest in multiple funds as per your wish. Many people compare different funds to choose the fund that fits their investment objectives

3. Does the HSBC SIP Calculator account for taxes on my returns? 

No, the calculator does not account for taxes and provide pre-tax returns. It is important to consider taxes (STCG or LTCG) while planning your investments

4. What happens if the market performs poorly during my investment period? 

Nobody can predict a market downturn. This is where rupee cost averaging comes into effect. Buy more shareS when the market is low and less when its high would average your purchase cost

5. Where can I find more information about HSBC mutual funds and SIPs? 

You can visit the HSBC website, contact their customer service, or view the funds in a mutual fund aggregator like Fincover.