Investing’s 5 Most Important Numbers?
A handful of numbers reveal some of investing’s deepest truths:
- 94% of large-cap fund managers can’t beat the S&P 500 over 20 years.
- The average investor in US mutual funds earned just 4% per year for the past 30 years (while the S&P 500 earned 10%).
- If you’d missed the best 1.9% of trading days in the S&P 500 for the past 20 years, your returns would be 93% lower.
- From 1926 until 2019, just 4% of US stocks generated all the market’s gains.
- $500 gifted to a newborn and invested at the S&P 500’s historical rate would have grown to nearly $500,000 by the time the child was 70 and retiring.
In the following video, I share more about these surprising stats and relay why they’re so important to investors.
Click here or on the video below to watch.
And if you’ve got special numbers that matter to you in investing, we’d love to hear them – just send us a note.
James
This article is for informational purposes only and is neither investment advice nor a solicitation to buy or sell securities. All investment involves inherent risks, including the total loss of principal, and past performance is not a guarantee of future results. Always conduct thorough research or consult with a financial expert before making any investment decisions. Neither the author nor BBAE has a position in any investment mentioned.
