Retiring early is a dream for many investors, but achieving it requires disciplined investing, realistic return expectations and regular portfolio reviews. While investing through Systematic Investment Plans (SIPs) can help build a sizeable retirement corpus over the long term, the amount required depends on factors such as future expenses, inflation, lifestyle and other sources of income. Investors also need to ensure that their mutual fund portfolio remains well-diversified and is not overloaded with too many schemes.
A 35-year-old corporate professional from Hyderabad reached out to ETMutualFunds seeking advice on whether his current SIP portfolio is sufficient to retire in the next 10 years. The investor currently invests Rs 42,500 every month through SIPs, with a 10% annual step-up, and aims to build a retirement corpus of Rs 1 crore or more.
