How Much Of Your Salary Should Be Invested? Ace Investor Mark Mobius Answers

Young professionals must take bold steps to secure their financial future, starting with saving half of their income for investments. In an exclusive interview with Republic Business, the investor outlined key steps for those in their 20s and 30s to secure financial stability and long-term wealth.

The mantra for financial freedom

Speaking about the importance of financial discipline, Mobius stressed, “The first step for young people is to save enough to buy a place to live. It’s important to have a stable foundation.” He said that owning a home early in life offers both emotional security and financial leverage.

Once that’s achieved, Mobius advised channeling savings into the stock market. “Establish a fund invested in good stocks in India—solid companies with long-term potential. Avoid speculation. Think about investments that will provide the best returns over time,” he added.

How much to save?

When asked about how much of one’s income should be set aside, Mobius recommended half of the salary. “For young people, investing half their income creates a foundation for building a family and securing retirement,” he explained. He said that this disciplined approach will pay dividends in the future.

For young professionals starting their financial journey, Mark Mobius recommends prioritising saving for a home early in your career, as it provides a stable foundation for the future.

Once that’s achieved, focus on investing in quality Indian stocks with strong long-term growth potential, steering clear of speculative options. Most importantly, he suggests adopting a bold approach to saving by setting aside 50% of your income for investments. This disciplined strategy, Mobius believes, is key to building wealth, securing a family’s future, and planning for a comfortable retirement.