[cvrjk]

This is what's so surprisingly scary about time value of money to me. Many "spectacular" investments that double or triple money over a decade or 2 are simply not all that great if you just calculate the annualized return and factor in the inflation.

Back home, I've had so many agents try to sell me inferior insurance and investment opportunities dressed up as insane deals hoping I wouldn't look too much into the details. I was really lucky to come across the folks at /r/indiainvestments who frequently warn about this. But I am sure there are many others who are not aware of these things and fall for them.

[sn41]

I suppose you have heard about the rule of 72 - it's quite useful for roughly figuring out doubling rate from compound interests, and vice versa:

https://en.wikipedia.org/wiki/Rule_of_72

I guess doubling in 10 years corresponds to annual percentage of 7.2 percent, and 20 years, 3.6 percent. Adjusting for inflation, the rate will be lower.

BTW, you may be referring to Unit-linked insurance schemes. They are neither good as insurance, nor good as investments.

[TedDoesntTalk]

Insurance companies should not be used to invest your money. They are insurance companies. Much better choices exist for investment managers.

[thehappypm]

You may be right about “should” but the insurance industry is basically an investment industry financed by premiums and always has been.

[TearsInTheRain]

It is common practice for PE firms to buy insurance companies in order to better manage the investment side of the business.