hi there welcome to my youtube channel stock trading international I have
created this channel keeping in mind those people who are not
able to manage their finance and yet working for years and years end up
having less or zero balance in their bank accounts now in this video what I'm
going to explain about is the power of compounding how even by saving a little
at the end you can be a winner we don't have to be extraordinary to do this as
Albert Einstein said 8th wonder of the world is the power of compounding so I'm
going to show you a very brief example just to illustrate what I'm saying here
now this is an excel as you can see so let's say you start with an initial
investment of $10,000 and you keep adding monthly $1000 in that savings now
as you know that if you look from the far right this is zero point six six
percent monthly return which is equal to yearly eight percent return now why I
have taken 8 percent yearly return it's very simple now let's say you invest in
any fund any fund that relates to the indexes major indexes like Nasdaq S&P
500 Dow Jones if you go and see the last 70 years data you take out any 10-year
period the return is always more than 8 percent I have taken 8% as a very
nominal return so that it would be easier for me to explain it now if you
see the average return over here is 15 point
three eight percent and in this it is fifteen point seven four percent now
what you learn from this is that if you want to make real money you need to be
at least invested for ten years now that seems like a lot of time but time passes
as I had made a lot of mistakes in my early career by not saving spending
splurging when I should not be now I realize and now as I have started saving
and it's compounding the way I have wanted to it's quite refreshing now this
is the eight percent return now you'll wonder what is this twenty four percent
or done now this eight percent done is for
anyone and everyone but if you put a little effort and this channel is all
about that I'm going to help you with a systematic trading approach where you
don't have to trade every day not every week once or twice a month depending
upon what strategy we are doing and I'm going to give it all that information to
you for free you don't have to pay any subscription fee anything for learning
all this it will be all free so if you're able to achieve twenty four
percent return what happens and why this is sixty percent if you want to know
just stay tuned now this is like let's say you started with ten thousand and
you're putting one thousand every month so at the end of one year you will have
twenty two thousand two hundred and sixty-seven dollars okay that's not a
lot I know that now let's fast-forward this is year and this is month now let
me go ahead and put a filter here I'll go ahead and select only the years so it
would be easier for me to explain now let's see if you keep earning at the
rate of eight percent yearly which is possible as I showed you from this graph
anyone can you just have to invest in the index
fund index fund is the way to go for those people who cannot manage or who
don't have the time to do it now let's see let's fast-forward 10 years what
happens so in ten years if you keep doing the same thing you would have two
hundred thousand dollars in your account that sounds interesting right now look
here if you get at the rate of twenty four percent you would have five hundred
and ninety four thousand dollar that is the difference the one who can manage
their money what little effort can get this and sixty percent is a different
ballgame which if you stay with my channel for a long time let's say I'll
be giving a lot of strategies on how to go ahead and we'll be doing a live
practice like a paper trading I have free tools which we can use which you
can I will be also giving this excel which you can keep as a motivation now
let's say you are someone who's young or maybe in the early 30s ten years you can
also invite keep going investing for a long time let's go 25 years 25 years
right now if you see here in 25 years you would have 1 million dollar you
would be a millennia if it goes at the rate of 8% as as I showed you up but if
you can earn by this rate 24 percent by putting a little bit of an effort from
your side a little bit of due diligence and little bit of training that I will
be giving you and if you were able to emulate what I do real time you can be
here now this is this figure looks quite big so if if I tell you what it is I
would not be able to tell you right away it looks like something in billions
which I have already calculated for you so if you see here it is 68 billion
now that is possible but you have to put a lot of effort in that a lot of timing
and all that that's what the rich people do that's what the bankers do that's how
they are 50 60 % return and there are people making hundred percent return
also on a yearly basis but we I don't want to promise you anything that is too
exaggerated okay let's stick to 21 24 percent for the next one year at least
if you can emulate 24 percent then we can think about this so this is the plan
and this is this really works I'm telling you this really works so I'll be
putting a link down here the video with this excel file okay and stay tuned
subscribe to my channel so that I'll be giving a new strategy where how I select
stocks that gives two percent return on a monthly basis so that you can
achieve this 24 percent thank you for watching this video please subscribe
thank you once again
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