Rule Of 72
A rule stating that in order to find the number of years required to double your money at a given interest rate, you divide the compound return into 72. The result is the approximate number of years that it will take for your investment to double. Investopedia Says:
For example, if you want to know how long it will take to double your money at 12% interest, divide 12 into 72 and you get six years. Related Terms:
Annual Percentage Yield - APY
Compounding
Return |