What is Compounding ?

 

We are all familiar with linear figures, such as your Salary. Unless you get a raise your Salary is going to be the same amount, week in and week out. Compounding is a similar thing, where your calculation base changes at an interval, Yearly, Half Yearly, Quarterly etc

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Over a decade if your money doubles from Rs100 to Rs 200 by adding Rs10 each year; then through the growing base same Rs100 becomes Rs 350. Add 10 more years and you’re up to Rs 850. This is called compounding

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Check our calculator to estimate the approximate value of your Investments over a period - must choose the compounding frequency for your reference