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| Indian rupees earning |
For the salaried person, if he gets 30,000 thousand as a salary. If he manages to save ten thousand rupees per month, he can earn 1,50,000 as interest in 7 years and the money grows at a compound rate if the investment duration is increased.
Do you know the power of compounding, the power of compounding is seen in equities, mutual funds and other financial investments? In mutual funds like debt mutual funds and their subdivisions like liquid debt mutual funds and dynamic debt mutual funds. In liquid funds, you will get a solid interest rate of 7.3%. and in the dynamic fund, the interest rate will be approximately 9.3%. The interest rates are calculated daily so if you invest money in a mutual fund like this the interest is calculated daily and it is compounded and you will see the power of compounding.
For example, if you invest 10000 rupees per month for 7 years, the total investment will be 850000 rupees and the interest will be 150000 rupees and above. As I said earlier, if the duration increases, the compounding interest also increases. So more duration more money.
Another secret of compounding is if you start to invest at an early age then you will raise more money in your retirement days.
It is hassle-free and you can invest the money at your fingertip. The best way to start investing in the mutual fund and the stock market is Zerodha's kite and coin app. You need to open an account with the Zerodha and link the bank account with the Zerodha account.
The debt mutual funds like ICICI Debt Liquid Mutual Fund and the Axis dynamic debt mutual fund. So start investing earlier and get the full benefit of the power of compounding.
For example, if you invest 10000 rupees per month for 7 years, the total investment will be 850000 rupees and the interest will be 150000 rupees and above. As I said earlier, if the duration increases, the compounding interest also increases. So more duration more money.
Another secret of compounding is if you start to invest at an early age then you will raise more money in your retirement days.
It is hassle-free and you can invest the money at your fingertip. The best way to start investing in the mutual fund and the stock market is Zerodha's kite and coin app. You need to open an account with the Zerodha and link the bank account with the Zerodha account.
The debt mutual funds like ICICI Debt Liquid Mutual Fund and the Axis dynamic debt mutual fund. So start investing earlier and get the full benefit of the power of compounding.
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