and just like that, 10% p.a. compounded

The owners of the Washington Commanders NFL team achieved a 10% p.a. compounded return on their purchase price of $800 million in 1999. They are being sold for $6.05 billion.

A fancy house in Toorak, Melbourne was sold for $43 million. It was bought for $108,000 in 1968.

That is also a 10% p.a. compounded return.

Both marquee assets and let’s say scarce and tightly held.

Valuations aside, large numbers can create awe when reported in the media.

#compounding