Every innovative method developed by the NAOI Investing Research Center is complimented with education and tools. As an example, the newly developed Dynamic Investing Theory approach to investing spawned both a tutorial book and the unique NAOI Return Required Calculator presented below on this page. This calculator was created to help individuals design an investment portfolio that meets the financial goals that they really want to reach in life, not goals that simply meet their risk tolerance level. 

Investing from Another Perspective

Using NAOI Dynamic Investing Theory (DIT) the goal of a portfolio is to capture positive gains that exist in the market at all times. Individual risk tolerance level is not a factor. As a result, DIT enables you to aim for the financial goals you really want to achieve in life. But you first must understand if your goals are "reasonable". This is not a factor in MPT portfolio design where your goals are set by your risk tolerance whether you like it or not, and these goals are typically so low that "reasonableness" is not a factor. 

But higher goals are possible with Dynamic Investing. So reasonableness is a factor and it must be tested. Doing so is the purpose of the NAOI Return Required Calculator shown below. It enables you to transform your monetary goals into a Required Annual Return % needed to achieve them. Once this rate is defined, either you or an advisor can determine which standardized Dynamic Investment or Dynamic Portfolio is most appropriate for you. 

The NAOI Required Return Calculator

Use this calculator to estimate the annual Rate of Return required of a portfolio designed to meet your monetary investing goals. You can test three different goals at one time, one per row, and change the input variables to see how the Required Return % is affected. The data entry fields are explained below the calculator.

Note 1: Return Rates calculated are estimates only and are based on a series of assumptions. Calculators using different assumptions will produce different results.

Note 2: For percentages just enter whole numbers - e.g. for 20% enter 20.

Note 3: Do NOT enter commas, decimal points or dollar signs in any of your numbers - e.g. for $100,000.00 enter 1000000.


Goal $

Deposit $

Deposit $

of Years

Your Tax
Rate %


Return %

Total $


Input the following factors for each of your scenarios, one per row:

Your Goal - This is the amount of money you want to have as a result of your investment activities by the end of the "Number of Years" you specify. 

Initial Deposit - This is the amount of money you start with. Obviously this number can be zero if you are just beginning your investing career.

Monthly Deposit - This is the amount of money you are willing to add to your investment plan each month.

Number of Years - This is the time horizon for your investment goal in years.

Your Tax Rate % - This is your tax bracket. If your goal scenario is for an IRA account or other tax-deferred plan just leave this entry at zero.

Calculate - When you click this button you will see the "Required Return %" and the "Final Total" displayed for the row in which you clicked the button. The Required Return is the percentage return you will need to achieve each year to reach your target goal. The "Final Total" shows the end dollar amount which will vary slightly from your stated goal due to rounding factors.

Reset - This button clears your entries for the row and returns their value to zero.

Required Return % - This is the return percentage that you will need to achieve EACH YEAR of your portfolio holding period to achieve your specified goal.

Final Total $ - This is the final dollar amount you will have at the end of your "Number of Years". Because of necessary rounding errors the it will be slightly higher than your specified goal. 

Aiming for Higher Financial Goals

The NAOI believes that individuals should aim for investing goals that they really want to achieve in life; goals that get them excited! In today's world of investing this is not possible. Using traditional Modern Portfolio Theory methods your financial future is determined by a "guess" at your risk profile. Your investing goals are not even in the equation.

The introduction of Dynamic Investment Theory changes how we look at investing goals. With Dynamic Investments being capable of producing average annual returns of 20%+ without excessive risk, individuals don't need to simply accept an amount that an advisor tells them matches their risk tolerance. Instead, individuals can aim for much higher goals and have a realistic chance of meeting them. The NAOI Required Return Calculator was created to assist individuals in quantifying these new goals in terms of percent return required per year.

This fundamental change in how individuals view the world of investing will energize the public to become confident and involved investors. This is a goal that all NAOI products and services strive to meet.