Turning ₹2 crore into ₹10 crore in a decade sounds like the kind of financial goal that belongs in a spreadsheet, not real life.But financial advisor Kapil Jain says the target may be achievable. The catch? An investor can’t keep following the same strategy from the first rupee to the last.Jain used the example of a 45-year-old investor who already has ₹2 crore and wants to build that amount into a ₹10 crore portfolio over the next 10 years.According to him, the journey needs to be looked at in different stages because the risk changes as the portfolio gets bigger.
The first ₹2 crore is a different game
Jain says the early stage of wealth creation is where regular investing can make a big difference.He explained that an investor starting with around ₹2 lakh could potentially build a ₹2 crore portfolio over five or six years through sustained investing and market growth, depending on returns.This is where tools such as SIPs can help investors keep putting money into the market. A downturn can also look very different at this stage because fresh investments continue to enter the portfolio.But once the corpus becomes much larger, the numbers start getting uncomfortable.
A 25% fall can suddenly mean crores
Jain calls the next part of the journey “Phase 2”.His point is simple: the percentage loss might stay the same, but the amount of money at risk becomes much bigger.For example, a 25% fall in a ₹5 crore portfolio could mean a loss of around ₹1.25 crore. That’s a very different hit from a 25% fall on a much smaller portfolio.And when the portfolio approaches the ₹10 crore mark, the potential losses become even harder to ignore.A 25% decline on ₹10 crore would wipe out ₹2.5 crore on paper.That’s why Jain argues that investors shouldn’t treat a ₹10 crore portfolio the same way they treated a ₹2 lakh or ₹20 lakh portfolio.
‘You can’t just buy and hold’
According to Jain, one of the biggest mistakes investors make is sticking with the exact same approach even after their wealth has grown substantially.“People carry the same mindset till the end,” he said.His suggestion is to regularly review the portfolio and rebalance it when required. Asset allocation may also need to change as the amount invested increases and the investor’s financial priorities evolve.In other words, building wealth and protecting wealth aren’t necessarily the same job.Jain believes the investor in his example can potentially reach ₹10 crore in 10 years. But he also stressed how difficult it can be to stay on track throughout the entire journey.“99.9 per cent people can’t do it after this journey,” he said.The bigger takeaway isn’t that ₹2 crore will automatically become ₹10 crore. Investment returns aren’t guaranteed, and actual outcomes depend on returns, taxes, inflation, contributions, asset allocation and market conditions.What changes as the portfolio grows is the size of the risk. A bad year that once meant losing a few lakhs can eventually mean losing crores.And that’s when protecting what you’ve already built becomes just as important as chasing the next milestone.
