29-07-2025
How Long Will It Take To Quadruple Your Money? Use The Rule Of 144
The Rule of 144 is a useful calculation that helps evaluate the time required for an investment to quadruple using the power of compounding.
For every investor, be it a small or big one, the main goal is to grow their wealth and build long-term financial growth. But investing is more than simply buying the right stocks or funds; it is also about determining how long it will take for your money to grow. The Rule of 144 is a useful calculation that helps evaluate the time required for an investment to quadruple using the power of compounding. This rule provides a simple way to demonstrate the growth of your investments, allowing you to plan and strategise successfully.
What Is The Rule Of 144?
The Rule of 144 is a financial guideline that determines the number of years required for an investment to quadruple (grow four times) at a certain yearly return rate. To use this rule, divide 144 by the annual interest rate.
For instance, if the annual return rate is 10 per cent, the calculation would be 144 divided by 10, yielding 14.4 years. Similarly, if the return rate is 8 per cent, then the calculation would be 144 divided by 8 = 18 years.
This rule provides investors with a simple and quick approach to estimate how long it will take for their investments to grow four times, making it ideal for long-term financial planning and investment decisions.
The Rule of 144 is said to be an improved version of the well-known Rule of 72, which predicts how soon an investment will double. Instead, the Rule of 144 estimates when your investment will be four times its initial worth.
The formula for calculating is pretty easy, as you can calculate it by dividing 144 by the annual interest rate. For example, if you invest Rs 1 Lakh at a 12 per cent annual interest rate. To determine how long it will take for your investment to grow to Rs 4 Lakh, apply the given formula.
Therefore, at a 12 per cent annual return rate, it will take around 12 years for your Rs 1 Lakh investment to get to Rs 4 Lakh. This formula provides a quick and straightforward approach to determining how long it will take for your investment to increase.
Understanding the Rule of 144 could help people seeking to increase their wealth in establishing realistic investment goals. By selecting the appropriate investment vehicle—whether mutual funds, equities, or other instruments—investors may ensure that their money grows efficiently over time.
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