5 ms·

Firstly, it was "low to medium" risk, not "low" risk. Secondly, pretty much any reputable ETF (or combination of ETF's) can quite easily achieve this over 30 y

Firstly, it was "low to medium" risk, not "low" risk. Secondly, pretty much any reputable ETF (or combination of ETF's) can quite easily achieve this over 30 years.

akavi 7y ago
There is no reputable ETF that will give you 15% return. Even 10% real return is incredibly unlikely.
- OJFord 7y ago
  I don't think 'unreputable' is fair - they're just a different (not 'low - medium'!) risk profile.
  - nuclearnice1 7y ago
    What tickers?
    - atombender 7y ago
      Perhaps they're referring to leveraged ETFs like UPRO (Direxion Daily 3X Bull & Bear S&P) and TQQQ (ProShares UltraPro QQQ). Be advised that they are not designed to be held over more than a day, although with the current bull market, they have not actually been hit by the decay factor inherent to all leveraged ETFs. Other higher-risk ETFs would be things like solar/wind sector ETFs (e.g. TAN, FAN, PBW, IQCLN, QCLN, etc.) or bleeding-edge biotech (e.g. SBIO).
  - Kirby64 7y ago
    No, they're just non-existent. Anyone with a brokerage account had a ~20%+ return last year... it's over 30 years that matters. I'm sure there's SOME ETF that managed to do 15% returns over a 30 yr period, but that's just selection bias after the fact. It doesn't mean that ETF would do well this year, or next.
jbb123 7y ago
Most ETFs have returned about 7-8 % average long term (before allowing for inflation). Not a bad return, but very different over 20 years from 10-15%
- robohoe 7y ago
  7-8% is still nothing to scoff at. Better than a measly 1% in a savings account :D
  - Ididntdothis 7y ago
    There is a slight difference in outcome between 7 and 15 percent return though :).
    - deleted 7y ago
      [deleted]
- Solvitieg 7y ago
  It has to be said that this 7-8% average is inflated due to being at the end (?) of a ten year bull market. Vangaurd is predicting low growth of 3-4% over the next decade.
- Kirby64 7y ago
  Average rate of return is 7% accounting for inflation, actually. That assumes you're doing dividend reinvestment and such. Vanguard's predictions of 3-4% over the next decade mean that if you do a straight dollar calculation you'd be closer to ~7%, because that 3-4% number includes inflation, once again.

Firstly, it was "low to medium" risk, not "low" risk. Secondly, pretty much any reputable ETF (or combination of ETF's) can quite easily achieve this over 30 years.

akavi 7y ago

There is no reputable ETF that will give you 15% return. Even 10% real return is incredibly unlikely.

OJFord 7y ago
I don't think 'unreputable' is fair - they're just a different (not 'low - medium'!) risk profile.
- nuclearnice1 7y ago
  What tickers?
  - atombender 7y ago
    Perhaps they're referring to leveraged ETFs like UPRO (Direxion Daily 3X Bull & Bear S&P) and TQQQ (ProShares UltraPro QQQ). Be advised that they are not designed to be held over more than a day, although with the current bull market, they have not actually been hit by the decay factor inherent to all leveraged ETFs. Other higher-risk ETFs would be things like solar/wind sector ETFs (e.g. TAN, FAN, PBW, IQCLN, QCLN, etc.) or bleeding-edge biotech (e.g. SBIO).
- Kirby64 7y ago
  No, they're just non-existent. Anyone with a brokerage account had a ~20%+ return last year... it's over 30 years that matters. I'm sure there's SOME ETF that managed to do 15% returns over a 30 yr period, but that's just selection bias after the fact. It doesn't mean that ETF would do well this year, or next.

jbb123 7y ago

Most ETFs have returned about 7-8 % average long term (before allowing for inflation). Not a bad return, but very different over 20 years from 10-15%

robohoe 7y ago
7-8% is still nothing to scoff at. Better than a measly 1% in a savings account :D
- Ididntdothis 7y ago
  There is a slight difference in outcome between 7 and 15 percent return though :).
  - deleted 7y ago
    [deleted]
Solvitieg 7y ago
It has to be said that this 7-8% average is inflated due to being at the end (?) of a ten year bull market. Vangaurd is predicting low growth of 3-4% over the next decade.
Kirby64 7y ago
Average rate of return is 7% accounting for inflation, actually. That assumes you're doing dividend reinvestment and such. Vanguard's predictions of 3-4% over the next decade mean that if you do a straight dollar calculation you'd be closer to ~7%, because that 3-4% number includes inflation, once again.