Saturday, October 23
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Growing Wealth

How to Calculate Expected Rate of Return

Commercial Refinance Loans, Growing Wealth, Investing
The basic idea behind investing is finding ways for your money to earn you even more money. Getting your money to do work for you? Yes, please. But how do you figure out how much your investment is going to make you? The money that you earn on an investment is known as your return. The rate of return is the pace at which money is earned or lost on an investment. If you’re going to invest, you may want to consider how much money that investment is likely to earn you. Though it’s not possible to predict the future, having some idea of what to expect can be critical in setting expectations on what’s a good return on investment. Rate of Return Formula It helps to start with a base knowledge of a simple rate of return calculation. A rate of return is typically expressed as a percentage of...