6 min read
2026-02-14
Let’s compare two investors investing 10,000 ₽/month at 10% per annum:
Alexey started at the age of 25 → by the age of 55: ~22,600,000 ₽
Boris started at 35 years old → by 55 years old: ~7,600,000 ₽
The difference is 15,000,000 rubles with the same investments over the last 20 years.
Don't withdraw interest and dividends - let them work. Reinvestment is the key driver of compound interest.
At the same rate, monthly capitalization is more profitable than annual capitalization. The difference is especially noticeable over long periods.
| Strategy | Total for 20 years (10%) |
|---|---|
| 500,000 ₽ one time | RUB 3,363,750 |
| 500,000 ₽ + 5,000 ₽/month | 7,180,000 ₽ |
Regular replenishments more than double the final result.
Use IIS for tax deductions
Choose funds with low fees
Do not sell assets before 3 years (tax benefit)
Compound interest also works against you - with loans. Therefore, pay off your debts as quickly as possible.
See also: Interest calculator, Mortgage calculator