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❝ The Longer-End We Look, The Greater We Will Be Affected.
Basics
What To Worry ?
The Ship Is Sinking, If You Are Doing Nothing.
❝ Inflation Erodes Our Purchasing Power, Without Purchasing Power, Every Dollar Is Just A Piece Of Paper.
Rule of 72:
The Purchasing Power Dilemma
The rule of 72 is a quick, useful formula that allow us to estimate the number of years needed for our purchasing power to get halved for any given annual rate of return.
Estimate the future purchasing power of your dollar
Hong Kong's long-term inflation rate is 3%,
Years to halved = 24 years
*Formula: Years To Halved = 72 ÷ Inflation Rate
Assume
Today
You Are
25
Per Year
Inflation Rate
3%
Per Month To Survive
Today You Need
$10,000
Retire Stage
When You Are
65
Per Month To Retire
You Will Need
$22,620
❝ A Big Problem Waiting To Be Tackled With, Just Right Around The Corner.
In 1960
In 2010
In 2060
What To Know ?
The Golden Relationship Of
▴ Time ▴ Risk ▴ Return
❝ The Longer The Time. The Lower The Risk. The Safer The Return.
Range of stock, bond and blended total returns
( Annual total returns, 1950-2021 )
The needs to care about your financial health exist throughout your life span. Therefore, the earliest your start, the easier you are going to reach your financial goal. However, a performance vehicle is not just about the engine. So do our 5 years' action plan. Without a financial brake, you are still nowhere to go.
*asia countries inflation data in mar 2022
‹ HONG KONG ›
1.70
‹ CHINA ›
1.50
‹ TAIWAN ›
3.27
‹ THAILAND ›
5.73
‹ INDIA ›
6.95
‹ SOUTH KOREA ›
4.10
‹ JAPAN ›
1.20
The name of the game is not to get rich,
but rather to avoid dying poor.
- William J. Bernstein ∣ American Financial Theorist & Neurologist
Today, Asia already having the largest portion of the aging population on earth.
This trend doesn't peak at around 2060, we may then having 60.6% of the world's aging population.
Therefore, the problem we see today will definitely get worse tomorrow.
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