Furthermore, mutual funds double your money, especially the equity mutual funds. However, there’s one crucial investment formula ... interest, Rule 72 is less effective with simple interest ...
What if you could plug some numbers into a simple formula and find out how long it would take for your investments to double? That's exactly what the Rule of 72 does. Here's what you need to know ...
The “rule of 72 ... to double your money in a certain time frame. Here’s what that looks like as a formula: Rate of return = 72 ÷ Number of years until investment doubles For instance ...
Inflation has a similar effect, which you can see by using the rule of 72 in reverse, he says. If a 4% positive return doubles your ... value formula, which calculates how much a sum of money ...
The Rule of 72 formula is ... This is a simple example of the investment Rule of 72. Further, we can also reverse calculate the rate of return required to double your money, if you seek to double ...
If an investment doubles in value within ... to a higher rate of interest. The Rule of 72 helps you to estimate the number of years required to double your money at a given annual rate of return.
The formula for the Rule of 72 is ridiculously simple. You divide 72 by the annual ... historical average of around 10%, you'd double your money in about 7.2 years (72/10 = 7.2).
With the Rule of 72, it's as easy as plugging numbers into a simple formula to determine how long ... shows you how quickly you can double your money with minimal effort; this rule beautifully ...