See how your money grows! Savings alone can make one rich. It can easily
double your money in 6 or 7 years. If you get 10 percentage in
simple interest, in how may years will your deposit double? Just divide 72 by the simple interest to get the number of years required for doubling. A simple interest of 12% will double your money in 6 years! Suppose you deposit $1000 for 40 years with an interest rate such that it will double in 5 years. how much will you get on the 41st year? On the fifth
year it will become $2000. 10th year $4000, 15th year $8000, 20th year $16000, 25th year $32000, 30th year, $64000, 35th year, $128000, and the fortieth year $256000. If you
invest for 15 more years you will be a millionaire just with $1000! May be you think that this sort of interest is not there now. But in countries like India, there was more than 14% simple interest on your deposit n the nineties Now it hovers around 9%. At this interest your money will double in 9 years! If you require RS.50,000/- as income per month, at the present rate of interest, you would have to invest, around Rs.600,0000/- You may feel this is a big is sum now. But suppose you had deposited just 400,000/ in 1990, your deposit could have become around this figure by now. Investing in
shares is a good option. The only thing is that one should not be worried about the fluctuations in short periods. Chose the blue chip companies. And of course, invest when a share is at its lowest or near lowest. Keep the money there for 10 years or more and let your money multiply many times over. An investment of 1000 shares at a face value of $10 per share may become $100 easily in a few years and you get ten times what you invested! There are so many other ways of safe investment: mutual funds, property, gold, and so on. The common problem met with by the ordinary people is that they do not have much money to invest now. Well, there is no need for a lot of money now. Just invest what you have (say 10% of your income) regularly. But do not withdraw from it under any circumstance and see how your money grows..
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