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The market is at about the same level as Jan 2018. We could just as easily be up or down 20% a year from now.
by melling 7y ago
The market is at about the same level as Jan 2018.
We could just as easily be up or down 20% a year from now.
- nayuki 7y agoI think you forgot to account for dividends, and hence the total return.
- melling 7y agoThat's right, I did not account for dividends. The S&P is currently yielding under 2%.
- AJ007 7y agoIf your timing is bad, the returns from an index fund are terrible. The best advice is not just to hold for a long period (25+ years) but also not to go all in or all out.
- AJ007 7y ago* this is assuming the past continues to be a predictor of the future
- magashna 7y agoReturns are only bad on index funds if you pull out. Historically you're getting 7% over 10 years with virtually no fees. Managed funds rarely beat 7% and have fees which reduce any gains you may have made. Better to self manage and get that consistent growth.