Comment on Just think about it
UnderpantsWeevil@lemmy.world 1 week agoThe average national savings account interest rate (and you’d get a much better one with 100 million) is 0.42 APY.
Treasury Notes are 10x that rate. This mostly just illustrates how scammy and cheap your average bank has grown.
Dasus@lemmy.world 1 week ago
Yeah, my point here being that even with the puniest of interest rates, you’d still make more than enough just off the interest to live somewhat comfortably. And in reality, you’d make millions and you’d have so much you could risk a little of it while still having those safe investments yielding all the time.
UnderpantsWeevil@lemmy.world 1 week ago
I’d go one step further and assert that wealth compounds and borrowing rates fall with your aggregate wealth. Treasuries are the safest of safe bets, but there are much higher returns to be had with some minimal risk that become accessible when you have large cash reserves and access to cheap credit. Home ownership is a classic example. Save thousands of dollars a year on rent by owning an appreciating asset you get to live in.
You don’t need $100M to make this work. $100k can turn a handsome profit through compound returns on investment. In a stock market that yields 7%/year, you double your money in a decade.
Dasus@lemmy.world 1 week ago
Well, thanks for far improving my point with superior elucidation of how it would be actually done.
I thought home ownership as well, but then I thought he’d start complaining about house markets and insurance and whatnot. But we know that realistically it would be beyond easy to make 100 million grow.
thanks again