Everybody wants to become a millionaire. Who does not wants to earn the hundreds and thousands of rupees with the help of just a small investment? the answer is very simple, every working class person wants to make a million bucks very fast and as soon as possible. He wants to make a lot of money in very short time and to keep up with his expectation he starts saving his major chunk of earnings into the various savings schemes. But despite that very few managed to fulfill their dream. However, if you are young and ready to save only Rs. 30 per day then here is a good news for you, by investing only thirty rupees per day now you can become a millionaire. There is no magic trick here, actually, a long-term investment plan clubbed with compounding interest makes your small investment really a big chunk. Let’s take a look how you can also become a millionaire.
Where to invest
If you are 20 years of an age, then this is the best time to start your small investment.
Just save Rs. 30 per day that makes it Rs. 900 per month.
Now this 900 rupees you need to invest in any of the diversified Mutual Fund through Systematic Investment Plan (SIP)
And that’s all, Now wait for the power of compounding to its work. Now let’s understand the formula behind this automated growth
This formula can be understood with the help of the following example
Karthik is a young boy who saves Rs. 30 per day.
At the end of the month, he invests Rs. 900 in the diversified Mutual Fund.
Mutual funds offer the interest of 12.5 % per annum.
If Karthik keeps this process going on till the age of 40 than he becomes a millionaire at the age of 60
How the returns gets calculated in this plan
Initial investment amount is Rs. 900
Thereafter the monthly investment of Rs. 900
Yearly interest rate of return 12.5 %
Investment period 40 years
Total amount at the end of maturity period 101,55,160
Now here is the another scheme if you want to become millionaire in just 30 years
If your age is more than 20, do not get disheartened since there is another scheme wherein you need to save only Rs. 95 per day
With the age, the maturity period becomes less but the investment becomes more but with the help of systematic investment plans and 12.5 % compounding interest at the age of 60, you will surely become a millionaire.
Now, by following the above system you can surely become a millionaire when you reach at the sixty of your age. The point here is, if you follow the systematic investment plans and invest into the diversified mutual funds, you surely make the substantial quantum of funds for yourself when you need it the most.
Disclaimer : This information is provided with the help of information provided by the expert in the field of SIP and it was published in the paisa.khabarindiatv.com. We do not claim to provide any financial consultation and if you are planning to invest in any funds please do consult or take help of your financial advisor.