Harvest and Preserve SIP Calculator
Use this free Harvest and Preserve SIP calculator to see what happens when you run a SIP in equity and move profits into a safer fund whenever they cross a trigger. Enter your SIP, the trigger and the returns you assume, and compare the result with a plain SIP in a market that includes falls. The calculator shows how much wealth is kept out of the falls.
How this Harvest and Preserve SIP calculator works
You invest a fixed amount every month in an equity fund. Each month (or once a year, if you choose), the calculator checks whether the equity value is above the amount still invested in it by the trigger you set. If it is, the whole profit is moved to a preservation fund, such as a liquid, short-duration or arbitrage fund, which earns a lower return and takes no part in later falls. The equity left behind is back at cost and keeps receiving the SIP. For example, ₹10,000 a month for 15 years with a 15% trigger, checked monthly, moves profit 7 times and ends with about ₹14.5 lakh in the preservation fund and ₹20.8 lakh in equity, a total of about ₹35.3 lakh. This assumes 12% on equity, 6% on the preservation fund, and market falls of 25% starting after year 4 and repeating every 6 years. The result is an illustration, not a forecast.
How to read the result
A plain SIP never moves profit, and it is shown beside the strategy. In this example the plain SIP ends higher, at about ₹37.8 lakh, because profits moved out of equity grow more slowly. The strategy’s total value fell by at most about 12.8% in the market falls, against 22.5% for the plain SIP. At the plain SIP’s lowest point, about year 10.5, the preservation fund held about ₹6.9 lakh that the fall could not touch, and total wealth was about ₹17.2 lakh, against about ₹16.0 lakh for the plain SIP.
What the strategy protects, and what it does not
It protects only what has already been moved. The equity that remains is exposed to the full fall, and a fall can come before any profit has built up to the trigger. Moving profits out also lowers growth in a rising market. A lower trigger moves money sooner and protects more, at the cost of growth. A higher trigger does the opposite.
What this calculator does not include
Each move is a sale of units, so tax and exit loads may apply, and they are not included. The preservation fund earns the steady return you enter, while real liquid, short-duration and arbitrage funds also carry some risk and their returns vary. Real markets are less regular than the falls shown. This is a way of exploring how a strategy behaves, not a promise that it will do better, and not a recommendation.
Frequently asked questions
What is a Harvest and Preserve SIP?
It is a SIP in equity with a profit-booking rule. Whenever the profit crosses a trigger, it is moved into a lower-risk fund so that it is kept out of later market falls.
Does it protect me from a market crash?
Only partly. It keeps profits already moved safe from later falls, but the equity left behind still falls, and a crash that comes early may find little preserved.
What trigger should I use?
The starting trigger of 15% is only an illustration. Try 10% and 20% to see how the protection and the growth change. We can help you choose a rule that suits your goals.
How is this different from Dual Harvest?
Harvest and Preserve moves profits into a safer fund when they cross a trigger, and keeps them there. Our Dual Harvest SIP calculator harvests on a fixed schedule and pays part of the harvest out as cash. For a general look at what a fall does to a SIP, try our Market Crash Simulator.
Is the return shown guaranteed?
No. Mutual fund returns are market-linked and can be higher or lower than the rates you enter. Mutual fund investments are subject to market risks. Read all scheme related documents carefully. Learn more on the AMFI investor awareness site.
Is my information saved?
The calculations run in your browser. The figures you enter are not sent to us or stored unless you choose to send them, for example by using the WhatsApp button.