Honest ways to double your capital

When you invest to be able to retire one day, send your children to college or even buy a dream home for a long time, it is important to ask some relevant questions, such as how long it will take you to double your investment and how long it will last until you can liquidate the investment. There are some simple ways to invest and double your money in a reasonable time.

The rule of 72

Before investing, you should calculate how much it will take to double it based on the interest rate you receive. All you have to do is take 72 and divide by the interest rate you receive for your investment. This will tell you the number of years it will take you to get double the money For example, 72 divided by an interest rate of 12 shows that it will take you six years to double. If it takes you two periods to achieve the objective of your investment, with that index you know it will take you 12 years to achieve it.

Mutual funds

There are trustworthy mutual funds such as “Legg Mason”, “Vanguard” and “American Funds” that with their diversified investments have achieved the interest of 10 to 12% over time. These investments have variations in risk levels and possible rewards that can be adjusted to your investment objectives. The funds may have different types of national and foreign bonds and stocks. Your investment does not have to be large. Some funds allow a monthly contribution of $ 25. However, it makes little sense to invest in mutual funds if you won’t keep them there for six years or more.

Hard assets

If the objective of your investment is a little more conservative, you have longer periods to reach the objectives, or you want to have a higher level of security, then hard assets such as silver or gold may be ideal for you. These investments tend to fluctuate at 6 and 8% interest over time, so they tend to double their value every 12 years. However, you can feel safe knowing that silver and gold are always in high demand.

Real estate

If you have a significant sum of money to invest and you don’t mind adding effort, then real estate is the fastest way to double your investment. The concept is simple: you buy the property and rent it, creating a passive income. Or, you can buy a mortgage in a bearish economy, fix the property, and then sell it when the economy improves. Robert Kiyosaki, author of “Rich Father, Poor Father” used these principles to obtain between 16 and 24% of his investments.