It’s when you buy…

[sdduuuude]

It is a cool chart, but nobody really invests all their money in one year, then brings it all out in another year.

Long-term appreciation averages are more meaningful when people invest a little each year, then take it out bit by bit for retirement.

This chart suggests that you can lower risks by dollar-cost average when entering and diversifying in investments that are not all correlated to the market.

[sdduuuude]

What would be really interesting is to run some stats on the entry and exit points to see if there is an objective way to identify them. I’m thinking of Rich’s old graph regarding P/E ratios.

If there isn’t a way to identify the right entry and exit points, then it isn’t much of an investment tool.

[sdduuuude]

What would be really interesting is to run some stats on the entry and exit points to see if there is an objective way to identify them. I’m thinking of Rich’s old graph regarding P/E ratios.

If there isn’t a way to identify the right entry and exit points, then it isn’t much of an investment tool.

[sdduuuude]

What would be really interesting is to run some stats on the entry and exit points to see if there is an objective way to identify them. I’m thinking of Rich’s old graph regarding P/E ratios.

If there isn’t a way to identify the right entry and exit points, then it isn’t much of an investment tool.

[sdduuuude]

What would be really interesting is to run some stats on the entry and exit points to see if there is an objective way to identify them. I’m thinking of Rich’s old graph regarding P/E ratios.

If there isn’t a way to identify the right entry and exit points, then it isn’t much of an investment tool.

[sdduuuude]

What would be really interesting is to run some stats on the entry and exit points to see if there is an objective way to identify them. I’m thinking of Rich’s old graph regarding P/E ratios.

If there isn’t a way to identify the right entry and exit points, then it isn’t much of an investment tool.

[no_such_reality]

There’s a lot of voodoo in that chart.

Inflation, fees, taxes…

I’d love to see the raw return number without the adjustment for inflation fees and taxes. And then just inflation adjust number…

Frankly, a 7% REAL return, which is what the bulk of that chart is, is GREAT! At a real 7%, you can put away a real $10,000 a year starting at 25 and at 55 have a real Million to withdraw which will provide a REAL $40,000 for the next 40 years.

More conservatively, that long term REAL 7% will allow the median household making $50,000 a year to bank 10%, $5000 a year from 25-65 and then be able to pull the same REAL $50,000 out until they’re over 100.

[no_such_reality]

There’s a lot of voodoo in that chart.

Inflation, fees, taxes…

I’d love to see the raw return number without the adjustment for inflation fees and taxes. And then just inflation adjust number…

Frankly, a 7% REAL return, which is what the bulk of that chart is, is GREAT! At a real 7%, you can put away a real $10,000 a year starting at 25 and at 55 have a real Million to withdraw which will provide a REAL $40,000 for the next 40 years.

More conservatively, that long term REAL 7% will allow the median household making $50,000 a year to bank 10%, $5000 a year from 25-65 and then be able to pull the same REAL $50,000 out until they’re over 100.

[no_such_reality]

There’s a lot of voodoo in that chart.

Inflation, fees, taxes…

I’d love to see the raw return number without the adjustment for inflation fees and taxes. And then just inflation adjust number…

Frankly, a 7% REAL return, which is what the bulk of that chart is, is GREAT! At a real 7%, you can put away a real $10,000 a year starting at 25 and at 55 have a real Million to withdraw which will provide a REAL $40,000 for the next 40 years.

More conservatively, that long term REAL 7% will allow the median household making $50,000 a year to bank 10%, $5000 a year from 25-65 and then be able to pull the same REAL $50,000 out until they’re over 100.

[no_such_reality]

There’s a lot of voodoo in that chart.

Inflation, fees, taxes…

I’d love to see the raw return number without the adjustment for inflation fees and taxes. And then just inflation adjust number…

Frankly, a 7% REAL return, which is what the bulk of that chart is, is GREAT! At a real 7%, you can put away a real $10,000 a year starting at 25 and at 55 have a real Million to withdraw which will provide a REAL $40,000 for the next 40 years.

More conservatively, that long term REAL 7% will allow the median household making $50,000 a year to bank 10%, $5000 a year from 25-65 and then be able to pull the same REAL $50,000 out until they’re over 100.

[no_such_reality]

There’s a lot of voodoo in that chart.

Inflation, fees, taxes…

I’d love to see the raw return number without the adjustment for inflation fees and taxes. And then just inflation adjust number…

Frankly, a 7% REAL return, which is what the bulk of that chart is, is GREAT! At a real 7%, you can put away a real $10,000 a year starting at 25 and at 55 have a real Million to withdraw which will provide a REAL $40,000 for the next 40 years.

More conservatively, that long term REAL 7% will allow the median household making $50,000 a year to bank 10%, $5000 a year from 25-65 and then be able to pull the same REAL $50,000 out until they’re over 100.

[edna_mode]

@nsr: the link I gave for the 3am comment wasn’t right. This is the correct one, and may address some of your questions:

http://www.crestmontresearch.com/content/Matrix%20Options.htm

That gives charts in nominal vs. real dollars; taxable vs. tax-exempt; and P/E ratios. There are numbers not just colours in each square. And make sure to check out the “Assumptions Graph”.

Should have linked to this in the OP.

I believe they are re-investing dividends? But can’t find that in the assumptions.

EDIT: Just looked closely at the legend on the graphs, and the third box down on the taxable real returns one says clearly that dividends are reinvested, in addition to how inflation, taxes, trading costs etc. are treated.

[edna_mode]

@nsr: the link I gave for the 3am comment wasn’t right. This is the correct one, and may address some of your questions:

http://www.crestmontresearch.com/content/Matrix%20Options.htm

That gives charts in nominal vs. real dollars; taxable vs. tax-exempt; and P/E ratios. There are numbers not just colours in each square. And make sure to check out the “Assumptions Graph”.

Should have linked to this in the OP.

I believe they are re-investing dividends? But can’t find that in the assumptions.

EDIT: Just looked closely at the legend on the graphs, and the third box down on the taxable real returns one says clearly that dividends are reinvested, in addition to how inflation, taxes, trading costs etc. are treated.

[edna_mode]

@nsr: the link I gave for the 3am comment wasn’t right. This is the correct one, and may address some of your questions:

http://www.crestmontresearch.com/content/Matrix%20Options.htm

That gives charts in nominal vs. real dollars; taxable vs. tax-exempt; and P/E ratios. There are numbers not just colours in each square. And make sure to check out the “Assumptions Graph”.

Should have linked to this in the OP.

I believe they are re-investing dividends? But can’t find that in the assumptions.

EDIT: Just looked closely at the legend on the graphs, and the third box down on the taxable real returns one says clearly that dividends are reinvested, in addition to how inflation, taxes, trading costs etc. are treated.

[edna_mode]

@nsr: the link I gave for the 3am comment wasn’t right. This is the correct one, and may address some of your questions:

http://www.crestmontresearch.com/content/Matrix%20Options.htm

That gives charts in nominal vs. real dollars; taxable vs. tax-exempt; and P/E ratios. There are numbers not just colours in each square. And make sure to check out the “Assumptions Graph”.

Should have linked to this in the OP.

I believe they are re-investing dividends? But can’t find that in the assumptions.

EDIT: Just looked closely at the legend on the graphs, and the third box down on the taxable real returns one says clearly that dividends are reinvested, in addition to how inflation, taxes, trading costs etc. are treated.

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