If you are looking to invest your money for the medium term, generally for around 5 years, then you must decide on the highest returns from mutual funds. When you are trying to figure out which SIP is best for 5 years, you don’t want to hear about “balanced versus equity” theories; you want to see exactly how the open-ended mutual funds in Nepal are actually performing right now.
When you are a full-time employee or business person and want to invest for a short time period, aiming for a higher return without taking care of fundamentals, then it’s wise to choose the best SIP for 5 years. Let’s dive straight into the numbers, compare the current SIP options in Nepal, and look at their actual returns.
Comparing Nepal’s Open-Ended Mutual Funds
To run a true Systematic Investment Plan where you can add money every month, you must use an open-ended mutual fund. Here is the actual data as of Chaitra 2082 (March 2026), showing how the major players currently stack up against each other.
Master List: Open-Ended Mutual Funds (SIP-Eligible)
| Scheme Name | Fund Manager | Latest (81/82) | Historical Dividends |
|---|---|---|---|
| Shubha Laxmi Kosh | LS Capital | 16% Cash | 7.5% (FY 2080/81) |
| NMB Saral Bachat Fund-E | NMB Capital | 4.27% Cash | Newer Scheme (Equity focus) |
| Nabil Flexi Cap Fund | Nabil Invest | 9% Cash | 5% (FY 2080/81) |
| NIBL Sahabhagita Fund | NIMB Ace | 7% Cash | 50% (77/78), 7.2% (78/79), 4% (79/80) |
| NIC Asia Dynamic Debt | NIC Asia Cap | 5.55% Cash | 10% (80/81), 10% (79/80), 6% (78/79) |
| Siddhartha Systematic (SSIS) | Siddhartha Cap | 8% Cash | 4.5% (FY 2077/78) |
| NI 31 | Nabil Invest | New | First cycle dividend pending |
Which SIP Gives Highest Return?
Looking at the data, if you are asking which sip gives highest return, you have to look at the track record. The NIBL Sahabhagita Fund is the pioneer and actually delivered a massive 50% dividend back in the bull market of FY 77/78.
However, if we look at recent consistency over the last couple of years, the Nabil Flexi Cap Fund has been highly aggressive, delivering a solid 9% cash dividend for FY 81/82. If you are aiming for high growth over a 5-year timeline and can handle moderate NEPSE volatility, an actively managed equity fund like Nabil Flexi Cap is highly competitive.
Understanding the Concept of SIP Plans
Before getting to the Which SIP is Best for 5 Years let’s make a clear about the major types of SIP Schemes practiced in nepal,
Equity SIP: Designed for aggressive, long-term equity growth. Direct investment in NEPSE Stocks. Generally offers a High reward, with high risk.
Example: NIBL Sahabhagita Fund, NMB Saral Bachat Fund-E
Debt SIP: It’s a Fixed Income SIP in our Nepali market. It locks your money into safe instruments like bonds, debentures, FDs and other low risk platform. Built to protect your capital.
Example: NIC Asia Saral Bachat Fund-E
Flexi Cap: It’s an adaptable stock fund where the fund manager actively shifts the money between the commercial banks, mid-sized hydros, and small microfinance.
Example: Nabil Flexi Cap Fund
Balanced/Hybrid SIP: It’s a Hybrid mix of both stocks and fixed-income assets. Generally, they are moderate risk, offering a middle ground between safety and growth potential.
Example: NI31 (by Nabil Investment) and Siddhartha SIP.
Timeline Breakdown: 3 Years vs. 10 Years
Five years is a great middle-ground, but what if your financial goals suddenly change?
Which SIP is best for 3 years?
If you need your cash in just 36 months, an equity fund is simply too risky. If the market crashes in year two, you won’t have time to recover. For a short timeline, which sip is best for 3 years is undeniably a debt fund. Schemes like the NIC Asia Dynamic Debt Fund invest strictly in bonds and fixed deposits. Your NAV won’t jump overnight, but your capital is fully protected from stock market crashes.
Which SIP is best for 10 years?
Conversely, if you are planning for a major life event, the stock market is your best friend. So, which sip is best for 10 years? Funds heavily weighted in equities, like SSIS or NIBL Sahabhagita, are perfect. Over a decade, the daily market fluctuations completely smooth out, allowing compounding interest to generate massive wealth.
Which SIP is Best for Long Term?
At the end of the day, figuring out Which SIP is Best for 5 Years and above for investing isn’t just about picking the fund with the highest NAV today; it is about absolute, unbreakable consistency. The smartest strategy is to automate your investments to match your natural cash flow. If you already have a solid habit of moving your split salary into different bank accounts around the 21st Gatey of every Nepali calendar month, simply set your SIP deduction for that exact same day. The money leaves your account before you can spend it, building your future on autopilot.
Conclusion: Final Verdict on Which SIP is Best for 5 Years
Deciding exactly which sip is best for 5 years comes under the balancing growth. Based on the current data, the Nabil Flexi Cap Fund is offering a fantastic and aggressive dividend history. But if the same conclusion were reached 3 years back, then NIBL Sahabhagita Fund would be the one. For now, both Mutual Fund Schemes are the best to choose for a short term.
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