SIP vs RD vs FD Investment Comparison
Compare returns and find the best investment option for your financial goals
Make informed investment decisions by comparing Systematic Investment Plans (SIP), Recurring Deposits (RD), and Fixed Deposits (FD) side-by-side.
SIP vs RD vs FD Calculator
Compare returns across different investment options and find the best fit for your goals
Investment Details
Expected Returns (% p.a.)
💡 Tip: SIPs typically offer higher returns but come with market risk, while RDs and FDs provide guaranteed returns with lower risk.
Understanding Your Investment Options
SIP (Systematic Investment Plan)
Regular monthly investments in mutual funds. Returns depend on market performance but historically offer higher long-term returns.
- Higher potential returns
- Market-linked risk
- Best for long-term wealth creation
RD (Recurring Deposit)
Fixed monthly deposits in a bank with guaranteed returns. Safe and predictable, ideal for short to medium-term goals.
- Guaranteed returns
- No market risk
- Disciplined monthly savings
FD (Fixed Deposit)
Lump sum deposit with guaranteed returns. Best when you have a large amount to invest upfront and want assured returns.
- Guaranteed fixed returns
- Zero risk
- Lump sum investment
When to Choose SIP?
- Long investment horizon (5+ years)
- Can tolerate market volatility
- Seeking higher returns
- Building retirement corpus
When to Choose RD/FD?
- Short to medium-term goals (1-5 years)
- Risk-averse investor
- Need guaranteed returns
- Preserving capital is priority
Comparison Summary
| Feature | SIP | RD | FD |
|---|---|---|---|
| Return Type | Market-linked | Fixed | Fixed |
| Risk Level | Medium to High | Very Low | Very Low |
| Expected Returns | 10-15% p.a. | 6-7% p.a. | 6-7% p.a. |
| Investment Type | Monthly | Monthly | Lump Sum |
| Liquidity | High | Low (penalty on early withdrawal) | Low (penalty on early withdrawal) |
| Best For | Long-term wealth | Short-term goals | Surplus funds |