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How to guides

This page contains a collection of practical “How to guides” describing to how I calculate and apply the various measures and formulae used in somethingsdontchange.com posts.


How To Adjust For Inflation

How to adjust for inflation

The formula to adjust for inflation is:

[Real Amount] = [Nominal Amount] * ( [Later Period Index Value] / [Earlier Period Index Value] )


How to unitise your portfolio

How to unitise your portfolio

The formula to unitise your portfolio is:

[Unit Count] = [Initial Portfolio Value] / [Initial Unit Price].


How to make $1 million in one hour

How to make $1 million in one hour

Ever wondered how to make $1 million in one hour? Read how fully utilising your tax-advantaged savings account limits, and invest the balance in a low-cost index tracker fund can generate $1 million with as little as one hour of elapsed effort.


How to calculate a compound annual growth rate

How to calculate a compound annual growth rate

The formula to calculate a compound annual growth rate (CAGR) is:

[CAGR] = ( ( [Final Value] / [Inital Value] ) ^ ( 1 / ( [Ending Year] – [Starting Year] ) ) ) – 1


Stay tuned, more to come…

Disclaimer: This information is general in nature and does not constitute personal financial advice.

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