The Power of Compounding

Say you put in $100,000/Rs1,00,000 as an investment expecting a return of 15% p.a. In equity investments a CAGR (compounded annual growth rate) of 15% is highly possible.

Do you know how much returns you will get after 5, 10, 15, 20, 25, 30 years. See the chart below

As you can see $100,000 dollars has become 6.6 million in 30 years. This is the power of compounding. So, at the age of 20 if you invest $100,000 and wait for 30 years...

you will be multimillionaire. And enjoy the rest of your life.

 

Sharing the exponential chart of the power of compounding

Shailendra Kumar AMFI ARN no. -316269

Happy Savings

"See this piggy bank. Incubate the habit of Savings. A penny saved is a penny earned."