My team and I have been running an Investor Program called “Who wants to be a millionaire?” for the last decade.
Many of my investors read my article and jumped onto that bandwagon and made it a reality albeit with difficulties in managing funds and believing in the process we spoke about.
In the last weekend’s business briefing, my Senior Manager Ms. Roma put a suggestion across.
“Antony Sir, why don’t we rewrite the Millionaire Matrix?”
Okay I am listening.
“We should ask our esteemed investors to target to build a ‘Foundation Amount of ₹5 Lakhs’ by way of SIP and Lump Sum’s and then build on that amount to reach their ‘First Million’ (₹10 lakhs)”
Okay, that is interesting. Basically, you want to begin the Financial Independence Goal Planning to start at ₹5 Lakhs, Am I right?
“Yes. Half a Million to Millionaire and then to Multimillionaire over the years. This way Financial Planning can be constructed as compartments and then lock them up for future use.”
I couldn’t agree more! a trusted lieutenant and a good navigator are the difference between sea and port of call.
When you read these investment numbers (Amount, Time & Percentage of Return), do not ask me these questions.
Have you taken Inflation into these calculations?
Have you taken India’s growth and World Economy into consideration?
Is this percentile a sustainable one over the years?
What is the guarantee that this will work?
Will you be there?
It is not that I do not want to answer them. When you start your journey, all these will be answered automatically with your changing lifestyle and personal aspirations. I do not worry about the rocky terrain, dust, and muck or the insects and dangers awaiting me in the mountains when I go out trekking. I just face it.
When you learn to transfer your innate fears and irrational thoughts about growth and market conditions to your Investment Portfolio Manager, you will make the best risk-adjusted return from the market. That is the philosophy. Let’s get to the good part.
Half a Million (₹5 Lakhs)
10 Years Monthly SIP of ₹1901/=
10 Years Yearly SIP of ₹21,414/=
Single Investment of ₹1,23,592/=
This is what it takes to achieve your Foundation Amount of Five Lakhs.
The most difficult part of this is “Staying Invested”. Even though we agree upon a time frame to achieve this, investors lose patience while seeing short-term negative returns. Time is key, not the timing.
I wrote this to my friend recently when she spoke about life’s challenges.
“You will be grinded like this for a while till you start feeling that the grinding was actually a buffing done by nature to curve you to accommodate all shapes and sizes that come across your life.”
Millionaire (₹10 Lakhs)
10 Years Monthly SIP of ₹3802/=
10 Years Yearly SIP of ₹42,828/=
Single Investment of ₹2,47,185/=
This is what it takes to achieve your First Ten Lakhs.
On the occasion of Children’s Day, how many of you wish to start this? If you have started already, have you revisited its growth?
Consistent Investments and Persistent Checks and Balances are the underlying secrets to wealth creation.
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