Everybody is looking at a set formula to arrive quickly at the solution which may at times not hold true as rate of return depends on a number of parameters.
However to quell the doubts of my friend who hurled this query on me and same can be stated in below terms:
However to quell the doubts of my friend who hurled this query on me and same can be stated in below terms:
- Fixed income : inflation +/- 1%
- Gold : Inflation + 1.5%
- Real estate : Inflation + 3-4% (or more ?)
- Equities : inflation + 6-7%
Different type of investors can expect different returns and above pertains to a conservative investor. Find out your style of investment here.
