Investment Planning: Let’s assume you have 3 investments to make—a Rs 10,000 monthly SIP; an additional Rs 5 lakh one-time investment to SIP; and stepping up the Rs 10,000 SIP by 5 per cent yearly along with the Rs 5 lakh upfront investment, all 3 for 30 years. The first option is the easiest and…
Here’s an example to help you figure out how you can benefit from compounding by starting early and staying consistent. Suppose two friends, Jyoti and Shikha, start investing. Jyoti started investing Rs 5,000/month at age 25 and continued till age 45 (20 years). Total Investment: Rs 12,00,000Maturity Amount (at 12 per cent annual return): Estimated Rs…
A lump sum investment involves putting a large sum of money to work at once, allowing you to capitalise on market opportunities quickly and benefit from potential growth without delay. This approach is simple and efficient, with a single transaction completing the investment. Let’s see how fast an Rs 8 lakh lump sum investment can…
When it comes to investing, two popular options are Systematic Investment Plan (SIP) and Lump Sum investment. SIP involves investing a fixed amount regularly, while Lump Sum involves investing a large sum at once. Both approaches have their pros and cons. SIP helps reduce market volatility and timing risks, while a lump sum can potentially…
Are you dreaming of owning a car without taking a loan? The 12x12x12 SIP formula can make it possible. By investing Rs 12,000 monthly for 12 years with an expected return of 12 per cent per annum, you can build a corpus of approximately Rs 37 lakhs. This disciplined approach helps you save and grow…