Isn't it amazing if the amount that you spend on your daily cup of coffee, snacks or online shopping helped you create a substantial investment portfolio? It may sound surprising, but investing just Rs 100 every day is quite effective in the long run.
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What Rs 100, Rs 200 and Rs 500 Daily Investment Can Do?
Imagine three friends: Rahul, Amit, and Priya. Rahul invests Rs 100 per day, Amit invests Rs 200, while Priya invests Rs 500. However, instead of depositing the amount in a savings account, the three of them decide to invest in mutual funds via SIP, earning an average return of 12% per annum.
Here is what their investments could grow into:
Daily Investment | After 10 Years | After 20 Years | After 30 Years |
| Rs 100 | Rs 6.72 lakh | Rs 27.59 lakh | Rs 92.42 lakh |
| Rs 200 | Rs 13.44 lakh | Rs 55.19 lakh | Rs 1.84 crore |
| Rs 500 | Rs 33.60 lakh | Rs 1.37 crore | Rs 4.62 crore |
Figures are approximate and assume monthly investments, a 12% annualised return and no withdrawals.
Priya invests Rs 15,000 per month. In 30 years, her total investment will be Rs 54 lakhs. But because of the power of compounding, her total investment corpus will be Rs 4.62 crore. This is the real magic of long-term investing. Your money earns returns on returns over the years.
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Conclusion
You do not need to earn a lot of money or have a large savings account to begin investing. With Rs 100 a day, you can start investing and make enormous wealth over the years. The key is to begin at an early stage, invest continuously, and remain patient.
After all, wealth does not build overnight. At times, even small amounts invested consistently can create unexpectedly big financial gains.
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