You don't need to worry about the stock market not
returning at a constant rate.
Not exact matches
For example, in an ideal world, a stock that earns E, pays a proportion d of that out in dividends, reinvests the rest to grow
at a perfectly
constant rate g, and is expected to stay in business into the indefinite future, should have a P / E ratio of d / (k - g) where k is the desired long term
rate of
return (say 0.10 or 10 %) that the stock should be priced to deliver.
Internal
rate of
return is used to calculate
returns when investments are done
at constant interval of time such as monthly or 3 months or 6 months or yearly etc..
The EUR / USD FX
rate is changing constantly, so the
return at any given EUR price is just as dynamic — which requires
constant monitoring.
Joint Life Last Survivor with
Return of Purchase Price on Last Death: Under this option, the annuity shall be paid
at a
constant rate till either of the annuitant and spouse are alive.
Lifetime annuity with
Return of 100 % of purchase price on death: A regular annuity
at a
constant rate is payable through the entire life of the annuitant.
Joint Life, Last survivor with 100 % annuity to the secondary annuitant on death of the primary annuitant with
Return of 100 % of purchase price on the death of the last survivor: The annuity installments are payable
at a
constant rate till survival of any one of the two annuitants.
Life Annuity with
Return of Purchase Price (ROP): Annuitant receives annuity payout
at a
constant rate through the entire lifetime.