Monday, July 13, 2009

What will be the Sensex after 20 years?

Today Sensex is at 14,000 level. But have you ever think that What will be the Sensex after 20 Years? Well, Let us calculate today that where will be the Sensex after 20 years?

Sensex was launched in 1979 and since than it has given averagely 17-18% per Annum return up to now. Sensex has started with the base value of 100.

So We can expect the future return from the Sensex between 15-20% per Annum.

Now let us run the Compound interest Calculator & count the value of Sensex after 20 years. In First Scenario, we will consider the return of the Sensex at 15% per Annum rate in the long run for future. Than at this rate, the Sensex will be around at the Level of 2,30,000 after 20 years.

In Second Scenario, we will consider the return of the Sensex at 20% per Annum rate in the long run for future. Than at this rate, the Sensex will be around at the Level of 5,40,000 after 20 years.

So if today you start investing your money in  the Sensex regularly and after 20 years, if the Sensex is above the level of 5.4 Lakh level than you should consider yourself lucky and consider the additional money as an additional profit.

I know that, many of you might not believe with this logic. But the Sensex has become 100 to 14,000 level by this method only.

So Start Investing Right Now & Let the time pass. You will definitely have gain in the future.

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