Making $1M

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Could you save $6,000 per year?

Do you think it’s possible to turn a $6,000 saving into a cool $1m?

We think you can.

Here’s how.

By investing your $6,000 each year for 30 years into investments returning 10% pa will grow into $1,091,661.

The only point of conjecture in this calculation is whether a return of 10% per annum is possible. We believe it is. In fact, we’d argue we have proof.

WAM Capital Limited (a Listed Investment Company or LIC) has achieved total shareholder returns (TSR) of 9.7% pa respectively over the past 10 years.

Magellan Financial Group Ltd’s (ASX: MFG) flagship global fund has returned 10.8% pa since inception – which is only 9 years ago.

No while neither of these are 30 year average returns we note it includes some pretty tough times (ie 2007-2009) and they’re still around 10%.

Investing isn’t always about being aggressive. In fact, a strategy can be pretty boring and still achieve great long-term results. It just takes discipline and time (and starting early). Returns are important too, it can make a big difference over time.

So don’t think financial success is impossible. It is.

 

By: Nick Rundle

Email: nmr@accession3.com

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