Deepak was a daydreamer. He often used to dream of living a life free from 9 to 5 work life, pursuing his passion and creativity, spending time with family, doing social work etc. He wondered how much amount of wealth or bank balance is needed so that interest earned could take of his living and give him enough time to live life on his terms. He figured out that One crore kept in mutual funds could take care of his monthly expenses with some surplus to take care of contingencies. So, creating a wealth of one crore became his driving force to earning as well defining economic discipline. He also understood that just savings is not enough; the saving has to be utilized to create further wealth.
Deepak took a job as this was the only source of income possible for him. Savings from salary became his source of capital. The focus was on increasing earning and saving every month. He started studying various avenues for investment like equity markets, mutual funds, gold, real estate, business etc. He realized that aggressive equity mutual funds could help him to start with to get higher returns. In a year, he also invested a small percentage in blue chip companies. He also started side business during weekends to increase his income. To create his wealth, he had to budget his income and prioritize his spending when others of his age were spendthrift. This not only made him financially wise but helped him to get maximum value for money. Starting with monthly savings of Rs 10,000 he increased it by 25% every year. His early age gave him the opportunity to take higher risk with higher returns. Though the initial 2-3 years were trying, the accumulated capital grew faster and he was able to achieve his goal in 7-8 years. This may sound simple and achievable only requirement is financial discipline and proper investment strategy with balanced risk.