What is 15 rule of money?

Quick Peek:

Want to become a crorepati? Follow the 15 Rule of Money. Invest Rs 15,000 a month for 15 years in a stock that offers 15% interest annually, and you’ll amass Rs 1,00,27,601. This rule is based on compounding interest, which allows for exponential growth over time. It encourages disciplined investing and helps investors achieve their financial goals. Start now and watch your money grow.

What is the 15 Rule of Money?

Investing can be a daunting task, especially for those who are new to the game. However, there are some basic rules that can help investors become successful in their ventures. One such rule is the 15 Rule of Money. This rule states that if you invest Rs 15000 a month for a period of 15 years in a stock that is capable of offering 15% interest on an annual basis, then you will amass an amount of Rs 1,00,27,601 at the end of 15 years.

Understanding the 15 Rule of Money

The 15 Rule of Money is a simple and effective way to invest your money. It is based on the principle of compounding interest, which means that your investment earns interest on the interest earned in previous years. This results in exponential growth over time, allowing your investment to grow at a much faster rate than if you were to simply deposit your money in a savings account.

To understand how the 15 Rule of Money works, let’s take a closer look at the numbers. If you invest Rs 15000 a month for 15 years, your total investment will be Rs 27,00,000. However, with an annual interest rate of 15%, your investment will grow to Rs 1,00,27,601 at the end of 15 years. This means that you will have earned a profit of Rs 73,27,601 on your investment.

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Why the 15 Rule of Money Works

The 15 Rule of Money works because it takes advantage of the power of compounding interest. By investing regularly and consistently over a long period of time, you can take advantage of the exponential growth that comes with compounding interest. This means that even a small investment can grow into a significant amount over time.

Another reason why the 15 Rule of Money works is because it encourages disciplined investing. By investing a fixed amount of money each month, you are able to build a habit of investing that can help you achieve your financial goals over time.

Conclusion

In conclusion, the 15 Rule of Money is a simple and effective way to invest your money. By investing Rs 15000 a month for 15 years in a stock that offers 15% interest on an annual basis, you can amass an amount of Rs 1,00,27,601 at the end of 15 years. This rule is based on the principle of compounding interest and encourages disciplined investing. By following this rule, you can achieve your financial goals and become a successful investor.