The Rule of 72

A couple of days ago, I wrote a post on the power of interest when it’s on your side. It was done using the example of what would happen if you took money you spent on the lottery and invested it instead. The results were rather dramatic. Why? Because most of the time interest follows the Rule of 72.
When investing, the Rule of 72 helps you estimate how long it would take to double your money. I have to emphasize that this is an estimate. It doesn’t always come out perfect, and you should realize that interest rates fluctuate, and …read more