
So how fast would a $500 investment accumulate
over 25 years assuming our past return of 34.9%
per year? For investors saving for their child's college tuition
or for those that are wise enough to start saving for retirement
while still in their 30's and 40's, this above chart is very noteworthy.
That's because your investment of $500
would be approaching one million dollars. In fact, in
year 26, which is one year beyond our chart above, your portfolio
would be worth $1.2 million.
If your investments instead had returned the S&P
500's average of 10% a year, you would have accumulated $5,417 (as
represented by the barely-visible line in red).
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10
Years |
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10
Years, $50 a Month Extra |
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