Building ₹1 crore in wealth may sound ambitious, but it does not require large lump-sum investments or perfect market timing. A Daily SIP investment allows investors to start small, invest consistently, and benefit from the power of compounding over time.
- Why Daily SIPs Are Gaining Popularity in India
- Key Reasons Daily SIPs Appeal to Investors Include
- How the Power of Compounding Drives Daily SIP Wealth Creation
- The Daily SIP Formula Explained
- 1. Your Daily Contribution
- 2. Expected Returns
- 3. Final Corpus by 2041
- Summary of the Daily SIP Calculation
- Why Daily SIP Frequency Works Better
- Key Considerations for Long-Term Daily SIP Investors
- Adjusting Daily SIP Investments for Inflation
- Portfolio Rebalancing
- Staying Invested
- The Bottomline
- FAQs
With mutual funds gaining widespread acceptance among Indian households, systematic investment plans have emerged as one of the most trusted tools for long-term wealth creation. What makes the Daily SIP approach especially appealing is its affordability, discipline and ability to harness compounding over time. With consistency and patience, long-term investing can potentially help you build a corpus of ₹1 crore or more by 2041.
Why Daily SIPs Are Gaining Popularity in India
Indian investors continue to show strong faith in mutual funds despite daily market fluctuations influenced by domestic and global events. According to the Association of Mutual Funds in India, SIP contributions reached an all-time high of ₹3.34 lakh crore in 2025. This trend highlights how mutual fund SIPs in India are increasingly seen as a reliable tool for long-term wealth creation.
Daily SIPs add another layer of consistency by allowing investors to put money to work every single day. Some mutual funds even allow investors to start Daily SIPs with as little as ₹10, making them accessible across income levels.
Key Reasons Daily SIPs Appeal to Investors Include
- Lower financial stress due to small daily commitments
- Reduced impact of market timing decisions
- Strong alignment with long-term wealth goals
- Greater visibility of investment behaviour
(Source: AMFI, Times of India)
How the Power of Compounding Drives Daily SIP Wealth Creation
The real strength of a Daily SIP lies in the power of compounding. When returns start earning returns, wealth creation accelerates significantly over long periods. Even modest investments can snowball into large sums when combined with time and consistency.
Equity mutual funds in India have delivered strong long-term performance historically. Over extended periods of 15 years or more, several equity funds have generated average annual returns of up to 25 percent, rewarding investors who stayed invested through market cycles.
A Daily SIP helps investors remain invested without worrying about short-term volatility, making it a practical way to gain equity exposure. In essence, the power of compounding ensures that returns generated on early investments continue to earn returns, accelerating wealth creation over long periods.
(Source: The Economic Times)
The Daily SIP Formula Explained
Let us break down how a Daily SIP of ₹400 can help build a ₹1 crore corpus by 2041.
1. Your Daily Contribution
- Daily SIP amount: ₹400
- Annual step-up (%): 10
- Average Monthly Outflow: Approximately ₹18,262 (based on an average of 30.4375 days per month)
- Investment period: 15 years
- Total investment: ₹46,39,000
Instead of investing a large lump sum, the amount flows steadily from daily cash flow. This makes the commitment manageable and sustainable over the long term.
2. Expected Returns
- Assumed annual return: 13 percent
- Estimated gains over 15 years: ₹68,11,000
A 13 percent return is considered realistic for a diversified equity mutual fund portfolio over a long investment horizon in India.
3. Final Corpus by 2041
Based on a daily investment of ₹400 with an annual step-up of 10 percent, continued over 15 years, the portfolio has the potential to grow to around ₹1.14 crore by 2041, assuming an average annual return of 13 percent.
Of this amount, the total invested value stands at ₹46.39 lakh, while estimated returns account for ₹68.11 lakh. This means nearly 60 percent of the final corpus is generated through returns, highlighting the significant role of compounding and incremental investment increases over time.
(Source: Online daily SIP Calculator)
Summary of the Daily SIP Calculation
| Metric | Value |
|---|---|
| Daily SIP Amount | ₹400 |
| Annual Step-Up | 10% |
| Investment Period | 15 years |
| Total Invested Amount | ₹46.39 lakh |
| Estimated Returns | ₹68.11 lakh |
| Final Corpus | ₹1.14 crore |
| Inflation-Adjusted Value (2041) | ₹72.59 lakh |
(Source: Online daily SIP Calculator)
Why Daily SIP Frequency Works Better
Investing daily rather than monthly offers both technical and psychological benefits.
- Enhanced rupee cost averaging: Units are purchased every trading day, helping investors benefit from short-term market dips.
- Lower volatility impact: Market crashes affect only a small portion of the annual investment.
- Stronger financial discipline: Daily SIPs turn investing into a habit, similar to daily expenses.
This approach removes emotional decision-making from investing and promotes consistency.
(Source: The Economic Times)
Key Considerations for Long-Term Daily SIP Investors
Adjusting Daily SIP Investments for Inflation
While ₹1 crore sounds substantial today, inflation can reduce its real purchasing power by 2041. Investors may consider a Step-Up Daily SIP, increasing the ₹400 contribution by 5 percent to 10 percent annually.
Portfolio Rebalancing
As the goal year approaches, typically in the last two years, it may be prudent to shift a portion of the investment into debt mutual funds. This helps protect gains from sudden market corrections.
Staying Invested
The success of a Daily SIP depends largely on staying invested throughout market ups and downs. Discipline matters more than timing.
(Source: SEBI)
The Bottomline
Building a ₹1 crore corpus does not require extraordinary income or risky bets. A simple Daily SIP of ₹400, followed with discipline for 15 years, can potentially help you achieve this milestone by 2041. The journey may feel slow initially, but compounding does the heavy lifting over time. For Indian investors seeking long-term wealth creation, Daily SIPs offer affordability, flexibility and consistency. Start small, stay patient and let time work in your favour.
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