9% Compounding yield over 19 years

I found out today, that my investment in Bonus Bonds I made when I was 13 has had a annualized compounding yield of 9% over all these years.

That’s pretty good performance. If only I had the vision to have invested more!

I was expecting zero growth, and the ANZ bank teller pointed out that at least I still had the original investment, and I pointed out that at 3% inflation the original $5 was worth $2.82 or should be valued at $8.84 to have held it’s buying power.

But wait in August 2006 I won $20.

I know, I’m going to have to start some lists. Plan how I spend the unforeseen windfall.

I might even get some independent investment advice.

I feel almost compelled to diversify my investment portfolio…

I think I need a tax free haven with low risk and high yield, any idea’s people?

Or maybe just leave stay in-to-win with a 25 in 2,000,000,000 chance of winning the $1 Million every month!

Hmm, just found that for each unit, you have a 1 in 16,000 chance of winning something a month, thus my original $5 should have won once every 266 years, looks like I came in 250 years early. Where-as now I should win something every 10 years… Woot!

Book: Cost & Management Accounting: An Introduction

cost-and-management-accounting-an-introductionI have just finish reading Cost & Management Account: An Introduction by M. R. Mathews. I purchased this book off TradeMe six years ago. So it’s not been on my must read list, but I have slowly read it over the years.

The book is old 1981, but it’s still an interesting read.

Funest example in the book, starts like this:

Mole Ltd, installed a small desk computer on 1 May 1979 at a cost of $18,750 ….

how many K for small desk computer….

Also nice old-school 50 cents on the cover…

Options Trading for the Conservative Investor

I read Options Trading for the Conservative Investor back in January.

The primary focus of this book is conservative uses of options, to lower basis, or protect value. I found it well written and explained things from the prospective of protecting wealth and use of options for this purpose. Compared to other books with their this is the maths/logic of how options work perspective.