Saturday, September 19, 2009
PETER LYNCH'S Rule of 72
The Rule of 72 is useful in determining how fast money will grow.Take the annual return from any investment,expressed as a percentage and divide it into 72.The result is the number of years it will take to double your money.With a 25 percent return,your money doubles in less than 3 years:with a 15 percent return it doubles in less than 5 years.
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