The Rule of 72 is a rough calculation of how quickly an investment will double 2x. The calculation is simply divided 72 with the average rate of return.
If the FTSE 500 has an average return of = 8%
Then 72/8
= 9 Years
« Back to Glossary IndexThe Rule of 72 is a rough calculation of how quickly an investment will double 2x. The calculation is simply divided 72 with the average rate of return.
If the FTSE 500 has an average return of = 8%
Then 72/8
= 9 Years
« Back to Glossary Index