I recently wrote a post asking you to think about how much you value a fixed rate of return. If you missed it, check it out here: How much is a fixed rate of return worth to you? I came across a post today via a twitter share from the CFA institute, which (it seems) was actually written back in 2012 :Rethinking the Equity Risk Premium at 3.25% I reached out to the author via twitter to see what he thought of my idea to pay down fixed return products instead, and he offered some good advice.
— Jason A. Voss, CFA (@TheIntuitInvest) September 10, 2015
So.. there you have it folks. 3.25% over the risk free rate of return is what the experts felt could be achieved… I hope it makes you think hard about how much a fixed rate of return is worth. And like Jason mentions, let’s not forget the value of investing in your education.