The power of compounding

If I offered you a one time payment of $1,000,000 or a payment plan of
30 days starting at $0.01 and doubling your pay each day. Some of the
smart ones already sense the trick question and may even know why to
pick the 30 day option. They know that at the end of the month it
would add up to a cool $10,737,418.23.
So how does that translate to wealth in the real world? Look at your
credit cards. Look at the terms. They read something like this:
Purchase APR:  Elite and Premium Pricing: The Prime Rate plus 5.99%
for Elite Pricing, or plus 9.99% for Premium Pricing for outstanding
and new balances after the introductory period. Standard Pricing: The
Prime Rate plus 14.99%.
The 6 ways finance charges are calculated http://tinyurl.com/3wcjqew

What that means is compound interred is making wealth for credit card
companies and banks in the form of debt.
You can lend money and make compound interest for you. It is an
excellent way to make a good return on your investment.

Email me at invest@top107.info if you want more information.

Compound W(ealth) http://tinyurl.com/3uebx6a

Guns and butter, baby!

Guns and Butter, Baby

As the value of a currency goes down, historically what has happened
in the past can be mitigated by understanding and mastering the law of
diminishing returns.

What has value after you buy it? I’m not just talking about to you or
who you bought it for, but to anyone else. How many things do you buy
if you hold on to it you can sell it for more than you payed for it?
Then consider the inflation rate over time.

Buying power only converts to income when you buy right. Buying right
becomes wealth over time when the rate of return is greater than your
living expenses plus inflation.

Rule of 72
A rule stating that in order to find the number of years required to
double your money at a given interest rate, you divide the compound
return into 72. The result is the approximate number of years that it
will take for your investment to double.

Times have changed. Technology has evolved or I should say changed at
an unnaturally rapid rate. One of the reasons that real estate is
worth less right now is technology and greed combined to make
financial products that had no value. The opportunity to buy right has
never been better.

One final note, when looking for things to invest in think about need.
Food, clothes and shelter will always be in demand.

http://tinyurl.com/3c3cxpr

Any questions you can reach me at invest@top107.info

Quick Outlook

Gold advanced to record $1,476.55 and Silver rose to the highest level since 1980. Last year gold was just under $1000 an oz. and jumped to nearly reach my $1500 forecast. The gains of Silver is set to outpace that!

If your 401k retirement has been looking anemic you might want to rollover some of that money into an IRA and put your financial life more under your control. It’s not as hard as you think and you might be surprised to know how flexible your investment option can really be.

Ever since the Real Estate meltdown the economic climate all over the world has been grim. Bad mortgages in the US were to blame for the collapse of the house of cards, but now a growing trend is beginning to emerge. It appears that the banks’ paperwork has been less than accurate and sometimes non- existent. Homeowners are beginning to sue banks and there has been some surprising results. See more on this 60 Minutes clip. http://tiny.cc/Mortgage107

Any questions you can reach me at invest@top107.info