- It’s somehow accepted that stock returns have been between 8% and 10% in the past. That is correct, but only for a short period in history and it’s not true for all markets.
- We’ll discuss stock returns over the past 100 years globally which will paint a different picture than what the predominant opinion would have you believe.
- This doesn’t mean stocks are bad investments, you just have to understand how to go about them. After all, it’s your financial life on the line.
Currently, most financial advisors will state that the best rational investing pattern is to invest in index funds as it’s impossible to beat the market, and that index funds have been a great investment vehicle over time.
That would be a correct statement, but the returns that are noted by those who are trying to sell you an index fund are cherry-picked from historical examples. But the truth looks a little different. More →