Investment Advice
I have close to 15 lakhs sitting in my bank account. Where should I invest to get stable 15-20% returns pa with minimal risk.
Laxmi chit fund
So yesterday I was thinking about investments. My friend, who's also a techie, was like, "Dude, just put your money in Nifty 50 and chill for 20 years." He said we could expect around 15% returns annually. I was like, "Bro, are you sure?"
I did some quick math using the compound interest formula. If you invest in Nifty 50 now, and leave it for 20 years, it needs to hit 392,796 from its current 24,000 to give us that 15% return. That’s crazy high, right?
Anyway, we debated a bit. He says it's possible, given India's growth story and all. But honestly, getting a 15% return consistently over two decades is ambitious. It’s better to have a balanced expectation, maybe around 10-11%, and be pleasantly surprised if it does better.
Reactions?
My recommendation is to keep investing in N50 till you have corpus of 3X of your annual pay and then increase allocations to other avenues (Next 50, Midcap, small caps, International, Real Estate)
Also, on returns: Do not have an expectation number in mind (like X% over next 15-20Y), especially for Equity. These long term numbers are very dependent on 100 odd factors out of anyone's control.
What you want is savings to beat inflation meaningfully to sustain a particular standard of life. What you can control is your contributions and your standard of life. If returns are lower than expected, increase your savings or reduce your expenses.
Don't aim for X% returns.
Hard to assume such a high return but not out of the realm of possibility
12% should be reasonable expectation
Got 16%
I have close to 15 lakhs sitting in my bank account. Where should I invest to get stable 15-20% returns pa with minimal risk.
Laxmi chit fund
I'm a salaried person with about 50 L base pay + some interest income + capital gains from equity. I'm currently paying around 10- 11 L in income tax.
I'm following the old regime Claiming below major deductions Hra 80c Nps Political ...
Isn't tax also political party donation😅
Already have emergency funds sorted
Bro, u r going to invest 30L, why don’t u spend another 10k to get a proper advice from a registered investment advisor?