How does an SIP grow? The power of compounding is real when it comes to SIP. Each monthly investment buys mutual fund units at prevailing prices (that is, more units when markets are down and fewer when they are up) and brings down the average cost over time. In the initial years, gains appear limited because the investment base is small, but as contributions accumulate and returns get reinvested, growth accelerates sharply. Over a 10–20 year horizon, returns generated on early investments form a major share of the final SIP corpus.
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CNBC TV1810-02-2026, 08:00

Bandhan Multi Asset Fund Delivers 40% Returns in 2 Years, AUM Crosses ₹2,700 Crore

  • Bandhan Multi Asset Allocation Fund completes two years, achieving over 40% returns on lump sum investment.
  • A ₹10,000 lump sum at inception is now valued at ₹14,046, showcasing significant growth.
  • The fund's AUM exceeds ₹2,700 crore, reflecting growing investor interest in multi-asset strategies.
  • Portfolio includes 50% domestic equities, 15% gold/silver, 15% arbitrage, 10% international equities, and 10% fixed income.
  • Despite diversification, it's taxed as an equity fund; minimum SIP is ₹500, lump sum ₹1,000.

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