Ch.12 · Matching Schemes to Investor Profiles · medium
A 28-year-old investor wants to accumulate ₹2 crore by age 55 (27 years). What is the MOST impactful lever for achieving this goal?
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EXPLANATION
For long-term wealth creation, time in the market is the most powerful lever due to compounding. Starting a SIP early — even at a modest amount — and staying invested for 27 years will outperform a larger SIP started 5-10 years later. Frequent fund switching disrupts compounding and triggers exit loads and taxes.
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