Saturday, 17 March 2018
Read? Counting The Opportunity Cost Of Rotting Cash
How to count?
One method is to look back at his past investment portfolio performance and achievement.
Best period from 2000 to 2007 (Bull) : 12% CAGR
Worst period from 2000 to 2009 (Bear) : 1.6% CAGR
Current period from 2000 to 2018 : 7% CAGR
Future period from 2000 to 2028 : 7% CAGR
To achieve and maintain 7% CAGR till 2028; Total Return (ROC) on his current War Chest has to be at least 180% over the next 10 years!