The Rule of 72 is a basic rule that each and every investor should know. The rule is commonly used to determine how many years will it take for your money to double. The equation is simply this, 72 divided the interest rate equals the number of years it takes for your money to double. […]
An audio visual presentation of the Rule of 72
I have written extensively on the Rule of 72. I firmly believe that knowing this rule is important because it is the foundation of all financial planning. In order to further understand what the Rule of 72 is all about watch this short youtube video clip on the Rule of 72. Knowing what vehicle of investment to use to […]
Want to get wealthy ? Think like the bank
Once upon a time an Overseas Filipino Worker (OFW) started working abroad. At the age of 29 he had already saved a total of P 100,000.00 (Philippine peso) Since the only investment vehicle he knew about was putting his money at the bank he went to the bank and deposited his P 100,000.00. The bank […]
The Magic of the Rule of 72
“The most powerful force in the universe is compound interest” – Albert Einstein. Albert Einstein’s greatest discovery was not the theory of relativity, it was the Rule of 72. (Although some people say that the rule existed long before he was born, most would agree however that he has popularized it) What has the Rule […]