From ₹1 lakh to ₹34 lakh in Nifty 100 over two decades: What the 2008 and Covid crashes teach investors — SkimNews
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- Nifty 100 TRI turned ₹1 lakh into ₹34.46 lakh over two decades at a 16.2% CAGR, according to data from UTI Mutual Fund's UTI Balanced Hybrid Fund NFO presentation.
- The 2008 Global Financial Crisis caused the steepest single fall in the Nifty 100 TRI at 61%, per the UTI study.
- The Covid crash in 2020 triggered a 38% decline, while the Euro debt crisis produced a 29% fall and 2016 demonetisation drove a 21% correction in the index.
- The 2022 global correction and a 2025 selloff tied to US tariffs and the West Asia conflict each produced 17% declines in the Nifty 100 TRI.
- UTI Mutual Fund documented an investor psychology cycle in which rising markets breed risk-taking near peaks and falling markets produce denial, fear, panic, and a desire to exit before the recovery.
Why it matters: A buy-and-hold investor who stayed invested through every crash turned ₹1 lakh into ₹34.46 lakh; anyone who sold during the 61% 2008 fall or 38% Covid crash would have locked in losses and missed the recovery. The data, drawn from a UTI Mutual Fund NFO presentation, frames volatility as the cost of compounding rather than a signal to exit.
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