JEPI - Maximizing The Rule Of 72 With These 5 High Yielders
2024-01-25 07:08:05 ET
Summary
- The Rule of 72 allows investors to estimate the number of years it would take for their portfolio to double, given a certain yield level.
- Several criteria must be met for the concept to work effectively, including a stable level of return and reinvesting all income generated.
- In this article, I share the key aspects to consider in fostering the yield predictability and portfolio stability.
- Plus, I provide 5 high yielding picks, which in a certain combination produce ~9% yield that leads to a great potential in doubling the portfolio value in just 8 years.
Rule of 72 is a simple concept, which allows investors to quickly calculate (and estimate) the number of years it would take for the portfolio to double given a certain level of annual return. The calculation is dividing 72 by the annual interest rate or yield, where the result indicates the number of years until portfolio value doubles....
Maximizing The Rule Of 72 With These 5 High Yielders