systematic investment plan (plan for the future)

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Part Part - 4 Systematic ystematic Investment nvestment Plan lan Ventura Securities Ltd. Page 1 of 12 Part Part - 4

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Page 1: Systematic investment plan (plan for the future)

Part Part -- 44

SSystematic ystematic IInvestment nvestment PPlanlan

Ventura Securities Ltd. Page 1 of 12

Part Part -- 44

Page 2: Systematic investment plan (plan for the future)

SStart early….tart early….

Hmmm… Ok… Hmmm… Ok… So how do I do So how do I do

Investment Investment Planning?Planning?

SStart early….tart early….

PPlan for the futurelan for the future

Ventura Securities Ltd. Page 2 of 12

IInvest regularlynvest regularly

Page 3: Systematic investment plan (plan for the future)

In Part 3 we saw what is Rupee Cost Averaging and how it works.

Ventura Securities Ltd. Page 3 of 12

In this presentation we will discuss why future planning is important.

Page 4: Systematic investment plan (plan for the future)

�Planning for the future can meet our financial goals: Retirement

☺Or even a

PPPPlan For The Futurelan For The Futurelan For The Futurelan For The Future

goals:

�Children's education

�Housing Plan

�Children’s marriage

�Retirement planChildren’s education

Housing

Children’sMarriage

RetirementOr even a holiday abroad!

Ventura Securities Ltd . Page 4 of 12

Page 5: Systematic investment plan (plan for the future)

Let us check why Future Planning is necessary with the

example of Retirement Planning.

�At the age of 30, the layman has income to meet his regular expenses.

�But at the age of 60, he does not have income but still have �But at the age of 60, he does not have income but still have expenses.

�So how to beat expenses after retirement without income??

The whole process of S(Start early) I(Invest Regularly)

P(Plan for the future) is Important at this stage.

Ventura Securities Ltd. Page 5 of 12

Page 6: Systematic investment plan (plan for the future)

Let us continue with our story of Dr. Amar and Dr. Prem.

Dr. Amar Dr. Prem

Started Investing at age 30 50

Monthly Investment (in Rs.) 10,000 10,000

Stop Investing at age 60 60

Total Investment (in Rs.) 36,00,000 12,00,000

�Dr. Amar started early and invested for 30 years while Dr. Prem invested just for last 10 Years.

�Can you guess, what would be the value of Dr. Prem's Investment after 10 years???...

Total Investment (in Rs.) 36,00,000 12,00,000

Corpus at the age of 60 (in Rs.) ? ?

Ventura Securities Ltd. Page 6 of 12

Page 7: Systematic investment plan (plan for the future)

Dr. Amar Dr. Prem

Started Investing at age 30 50

Monthly Investment (in Rs.) 10,000 10,000

Stop Investing at age 60 60

Total Investment (in Rs.) 36,00,000 12,00,000

Corpus at the age of 60 (in Rs.) ? 21,05,848Corpus at the age of 60 (in Rs.) ? 21,05,848

�Yes, an investment of Rs. 12 Lakhs will grow to Rs. 21 Lakhs in 10 Years.

�Now can you guess, what would be the value of Dr. Amar's Investment after 30 years???...

Ventura Securities Ltd. Page 7 of 12

Page 8: Systematic investment plan (plan for the future)

Dr. Amar Dr. Prem

Started Investing at age 30 50

Monthly Investment (in Rs.) 10,000 10,000

Stop Investing at age 60 60

Total Investment (in Rs.) 36,00,000 12,00,000

Corpus at the age of 60 (in Rs.) 2,89,59,922 21,05,848

*Assumes compounded annual returns of 12% over the entire period

Difference in returns is almost Rs. 2.69 crores!(Investment amount difference is just Rs. 24 lakhs)

Corpus at the age of 60 (in Rs.) 2,89,59,922 21,05,848

Any future plan can't achieved by one time investme nt.

Ventura Securities Ltd. Page 8 of 12

Page 9: Systematic investment plan (plan for the future)

Important points to take care while planning for retirement.

�Normal thinking of layman for retirement expense is...

the expenses after retirement will be 50% or 70% of current expenses, but actually it is not like that, it will remain 100% or sometime it increases.or sometime it increases.

�With advances in health care, average life spans are increasing. So healthcare/medical cost would also increase substantially.

�Since when we talk of retirement we're talking about a time period spanning several decades, so we'll need to consider the impact of inflation too.

Ventura Securities Ltd. Page 9 of 12

Page 10: Systematic investment plan (plan for the future)

�An investor without investment objectives is like a traveler without a destination. - Ralph Seger

�Longer the stay better it is. Safety of equities increases with time

�Investment Guru Warren Buffett bought his first share at age 11, and now regrets he started too late!

�Today's SAVING will save YOU in future!!

Ventura Securities Ltd. Page 10 of 12

Page 11: Systematic investment plan (plan for the future)

“Plan for the future, because that’s where you are going to be spending the rest of your life”are going to be spending the rest of your life”

- Mark Twain

Ventura Securities Ltd. Page 11 of 12

Page 12: Systematic investment plan (plan for the future)

To know more contact us on

Ventura Securities Ltd. Page 12 of 12

To know more contact us on

Email: [email protected]