How long will it take for an investment to double your money?

The time it takes for an investment to double your money depends on the annual rate of return, also known as the compound interest rate. The Rule of 72 is a quick and simple formula to estimate the approximate number of years it will take for an investment to double. To use the Rule of 72, divide 72 by the annual rate of return. This will give you an estimate of the number of years it will take for your investment to double in value, assuming a constant rate of compounding.

For example, if your investment has an annual return of 8%, using the Rule of 72, it would take approximately 9 years (72 / 8 = 9) for your initial investment to double. Keep in mind that this rule provides a rough estimate and actual results may vary based on market conditions and the consistency of the investment’s performance. It’s always important to consider other factors such as risk and market volatility when making investment decisions.