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Tuesday, 27 June 2017

Starting from Rs 1,000, investment .Will become owner of 2 million

If you can not save 5000 or 10 rupees every month, you do not have to be frustrated. You start by investing only 1,000 rupees.
image from google image


1,000 rupees start SIP

You can deposit a large amount by starting a Monthly SIP of Rs 1,000 ie Systematic Investment Planning. Compounding power in the long run.

After investing Rs 1,000 a SIP in the first year, you will have to increase the SIP by 20 per cent every year. That is, next year you have to invest Rs 12,000.

We can assume that SIP will return 15 percent annually in the log term. In the past years SIP has received 17% returns annually. 15 percent in such.
Image from Google

1.75 crores fund will be created

If you get an annual return of 15% on investment in SIP, then your fund will be approximately 1.75 crore rupees in 25 years. I.e. you 25 years old.
Image From Google
The power of compounding works fast after 15 years and after 15 years the fund grows very rapidly.

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