Lesson 5: formula to calculate Monthly “ROI” = (1+annual return)^(1/12) - 1
35
368 reads
CURATED FROM
IDEAS CURATED BY
Similar ideas to Return on Investment
Return on investment (ROI) is a way to measure an investment's performance. It also can be used to compare different investments.
Predict the Future EPS using annual earnings growth rate
Now look for the range in which the stock’s PE ratio is and multiply the PE ratio to the EPS from previous step
Determine your target net worth - where you want to be in the near-term and long-term future.
The following formula is helpful:
Target Net Worth=[Your Age−25]∗[1/5∗Gross Annual Income]
A 50-year-old with a gross annual income of $75,000 might aim ...
Read & Learn
20x Faster
without
deepstash
with
deepstash
with
deepstash
Personalized microlearning
—
100+ Learning Journeys
—
Access to 200,000+ ideas
—
Access to the mobile app
—
Unlimited idea saving
—
—
Unlimited history
—
—
Unlimited listening to ideas
—
—
Downloading & offline access
—
—
Supercharge your mind with one idea per day
Enter your email and spend 1 minute every day to learn something new.
I agree to receive email updates