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In the context of this discussion (and indeed as reflects how most people invest), wouldn't it be more relevant to see the average rate of return assuming regul
by twoodfin 14y ago
In the context of this discussion (and indeed as reflects how most people invest), wouldn't it be more relevant to see the average rate of return assuming regular (inflation or income growth adjusted) annual investments?
- snowwrestler 14y agoExactly. Depending on volatility you could get a positive return investing a set amount in a stock regularly, even if the stock started and finished at the exact same price. In addition some stocks pay dividends; reinvesting these can also improve rate of return beyond what would be expected from just looking at the stock price.