Compound Interest Investments

The Power of Compound Interest shows how you can really put your money to work and watch it grow.

When you earn interest on savings, that interest then earns interest on itself and this amount is compounded monthly. The higher interest, the more your money grows!

If you saved $200 each month, after 35 years, your money would have only grown to $148,680 at a three percent interest rate.

At a six percent interest rate, it would have grown to $286,370.

If you received a nine percent interest rate on your savings, your money would have grown to $592,760!

The sooner you start to save, the greater the benefit of compound interest.

These examples assume a hypothetical 9% constant rate of return. Assumes payments are made at the beginning of the compounding period. Rate of return is a nominal interest rate compounded on a monthly basis. Actual investments will fluctuate in value. The illustration assumes reinvestment of dividends and does not include fees and taxes which would lower results. Investing entails risk, including loss of principal. Units, when redeemed, may be worth more or less than their original value.

In Canada, term life insurance and Common Sense Funds segregated fund products are underwritten by Primerica Life Insurance Company of Canada. Mutual Funds offered by PFSL Investments Canada Ltd., mutual fund dealer.