The 15x15x15 Formula: How It Can Make You a Crorepati in 15 Years”
Before investing in mutual funds, even for first-time investors, it’s essential to follow some basic investment strategies. One of the most powerful is the 15x15x15 formula.
By following this rule, you could save over ₹1 crore in just 15 years. So, what exactly is the 15x15x15 formula, and how does it work with a SIP (Systematic Investment Plan)?
Here’s how it breaks down:
- The first “15” refers to a monthly SIP investment of ₹15,000.
- The second “15” represents the average annual return, assumed to be 15%.
- The third “15” indicates the number of years over which you should invest.
Let’s do the math: by investing ₹15,000 each month over 15 years, your total investment will be ₹27,00,000. With an average annual return of 15%, your investment grows to approximately ₹74,52,946. Combined with your original investment, this results in a total of ₹1,01,52,946, or just over ₹1 crore at the end of 15 years.
This simple strategy, with small and consistent contributions, can turn your dream of becoming a crorepati into reality. It perfectly embodies the saying, “small drops make a mighty ocean.