Test Your Financial Intelligence

Most people fail question number three and it reveals everything about their financial

intelligence. Question one. You have one thousand dollars to invest. Which option gives

you the best long term return? A. Savings account. B.

Index funds. C. Lottery tickets. D. Under your mattress.

The answer is B, index funds historically return seven to ten percent annually. Question two.

What is compound interest? A. Interest on a loan. B.

Interest that earns interest. C. A type of bank account. D.

Monthly fees. The answer is B. Your money grows exponentially because you earn returns