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A whole lot of them. Since inception the median 20 year annualized return is 11.92%. Back out 2% inflation (on average) and you'll see the median 20 year annu
by pinewood74 11y ago
A whole lot of them. Since inception the median 20 year annualized return is 11.92%. Back out 2% inflation (on average) and you'll see the median 20 year annualized return is 10%.
- forgetsusername 11y ago>Back out 2% inflation (on average) The average annual inflation rate from 1970 is over 4%.
- Marazan 11y agoI don't have the figures to hand but there is no way inflation has been 2% over the period.
- Marazan 11y agoHa, yeah - using this page ( http://www.moneychimp.com/features/market_cagr.htm http://www.moneychimp.com/features/market_cagr.htm ) The annulaised return of the S&P 500 was 10.82% from 1970 to 1990. Which is grand but doesn't take into account inflation. Adjust for inflation and the annualised return was 4.33% So I am rolling to disbelieve that median 20 year return is 10%