In the example illustrated in the below table, by the end of May you have invested R1 000, the market has fallen by 25% and, although it recovered somewhat, it is not back to the level it was when you started investing. Yet you accumulated 115.05 units and, at R9.26 per unit, that comes to R1 065.If you’d invested the full R1 000 in January, and thus bought 100 units, your investment would only be worth R926.
Your savings grow over time. A relatively small debit order can become a significant amount of money over time. For example, a monthly debit order of just R200 paid over 10 years will, thanks to the power of compounding growth, be worth as much as R40 000 if the investment grows at 10% a year.
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