Consider the performance of your investment options:
Guaranteed 5 yr Investment Certificate GIC at bank.
3.00% / Year
Annualized 20 yr return for Canadian TSX
4.50% / Year
Annualized 20 yr return for US stocks - S&P500
(Jan1999 – Dec 31,2018) http://dqydj.net/sp-500-return-calculator
Also consider the emotional roller coaster of being
Invested in the market (S&P500) during those years:
2000 (-9.0%) 2001 (-12%) 2002 (-22%) 2008 (-37%)
2011 (+2.0%) 2015 (+1.0%) 2018 (-4.0%)
5.65% / Year
CLEARPATH SIGNALS – Buy and Sell System
Realistic goal 20%-25%+ annualized return.
Of course we cannot promise this, but our system supports our conviction.
20% - 25% / Year
How can we trust the results?
Gaining your confidence is our chief concern. As such, we are proud and honored that performance results will be professionally audited by the venerable HulbertRatings.com. Mark Hulbert is a highly respected market analyst and columnist writing for the likes of MarketWatch, The Wall Street Journal and Barron's.
As Ronald Reagan wisely stated 'Trust, but verify'. We agree.
Power of Compounding
When can I retire?
Compounding has been called the 8th wonder of the world. With a simple formula investors can know how fast their investment will double, and how long it will take to reach one’s goal. For example, if someone starts with only $5,000 and doesn’t invest another penny – how long would it take to reach a goal of $1 million? By dividing the expected rate of return into 72 the mystery can be solved.
If one expects to earn 5% a year/72, the investment would double every 14.4 years. The $million goal would be far off in the future. Let’s explore how all above options would fare.
Investors can of course increase their gains by adding, say $400/month to the initial $5,000. This will make them reach their goals much faster as illustrated in the last column to the right.
Starting with $20,000 instead of $5,000 and investing $700/mth at 20% per year will yield $2.8 million in those same 20 years.