The Value of Investing
- S&P 500 Stock Index – 10.07% 1
- Real Estate Total Return – 5.10% 2
- 30 Year Treasury Bond – 5.07%
- Inflation – 3.30% 3
- Bank Account Savings Account – 1.2%
The Power of Investing Long Term
Timing the Market doesn't work 4
- Average Annual Return: (had one simply stayed in the market) 11.83%
- Average Annual Return (missing 90 best trading days): 3.28%
The Power of Time
- $2,400 invested each year for
40 years at 10% = $1,072,030 - $12,000 invested each year for
20 years at 10% = $695,000
1Statistics by Forbes Magazine (based on the S&P 500 Index from 1980 to 2005)
2Statistics by Forbes Magazine (based on home sales data reported to OFHEO by Freddie Mac and Fannie Mae; 1980-2005)
3Statistic compiled by the U.S. Department of Labor (1915-2005)
4Study done by the University of Michigan
2Statistics by Forbes Magazine (based on home sales data reported to OFHEO by Freddie Mac and Fannie Mae; 1980-2005)
3Statistic compiled by the U.S. Department of Labor (1915-2005)
4Study done by the University of Michigan
