The sequence of return in a market-linked product is not linear as compared to a traditional recurring deposit. If for example in the very 1st year the markets drop by -15%, then the required rate of return for the next 14 years goes up to 7.25% from 7.00%, keeping the installment amount constant.
US stocks: Nasdaq, S&P end lower in volatile session as tech stocks retreat
Tech stocks pulled down the Nasdaq and S&P 500 due to valuation worries and concerns over AI spending, falling crude prices bolstered airlines and travel