How long does it take to double your money?
An easy and quick method to calculate how long it takes to double up your money, is to apply the "Rule of 72".
POSTED ON 14 JANUARY 2019
Your investment portfolio should always be in line with your goals. Therefore it is important to re-evaluate if your goals have changed over time. Some goals may have become less important or there may be new goals to work towards. Changes in goals could require adjustments in the asset allocation of your portfolio.
Moving through different life stages may affect your appetite for taking risk. Changes in your professional and personal life can also impact your tolerance for risk. You should reassess your risk appetite at least once a year. At Citibank, we remind you when it is time to review your risk profile.
Market dynamics and structural changes in the economy can affect long term return assumptions. For example, in a low growth and low interest rate environment, expected returns of investments are likely to be lower compared to the last 5 years. It is important to ensure that your return assumptions are realistic in order to ensure that you can meet your long term financial goals.
A diversified portfolio can mitigate the impact of extreme sell-offs while helping to protect and grow your wealth over the long term. In a volatile market, a diversified portfolio is likely to provide better risk-adjusted returns. Speak to our Citi Priority Personal Banker to assess how well diversified your portfolio is.
Over time, your portfolio’s asset allocation is likely to have shifted due to market movements. Left unchecked, this can negatively affect the long term performance of your portfolio. It is important to rebalance your portfolio regularly, as research has shown that asset allocation decisions can account for up to 80% of an investment portfolio’s performance. Citi’s model portfolios can provide you with an asset allocation which is in line with your risk tolerance.
This video/webcast/article is provided at your specific request and for general information purposes only. It is not intended as a recommendation nor an offer or solicitation for the purchase, loan, swap or sale of securities, financial products, services or currencies. Neither all nor part of this video/webcast may be reproduced or copied in any manner without the written consent of Citibank N.A. or its affiliates or subsidiaries ("Citi"). This video/webcast/article has been prepared without taking account of the financial objectives, situation, or needs of any particular investor. Any person or entity considering an investment should consider the appropriateness of the investment having regard to their financial objectives, situation, or needs, and should seek independent advice on the suitability or otherwise of a particular investment.
Not Bank Deposits • Not Bank Guaranteed • May Lose Value • Not FDIC Insured • Not Offered to US Persons • Are subject to investment risks, including the possible loss of the principal amount invested.
This advertisement has not been reviewed by the Monetary Authority of Singapore.