Jim Jim, Stock Market, Burton discussed on The Kristen Hagopian Show

Automatic TRANSCRIPT

Now for jim jim super fainthearted so if i go back to that twenty five year scenario gem if i go back to a twenty five year scenario where whatever money we put in the stock market you're going to promise me you will leave alone for twenty five years recognizing there has not been a twenty five year period since nineteen fifty were you didn't earn a very reasonable rate of return seven point nine four percent as the actual number according to burton malki oh so if we did that twenty five year scenario we say well i want my forty thousand dollars of income and i can earn you know two or three per over the rate of inflation over that twenty five year period so it takes about seven we'll call seven hundred thousand seven hundred twenty five thousand the be more accurate so seven hundred and twenty five thousand of your million bucks goes into something that's pretty darn safe and two hundred and seventy five thousand kengo in the stock market let's play this out two hundred seventy five thousand bucks if he left alone for twenty five years and it earned seven point nine four percent is worth one point eight five million dollars so you started with a million bucks he ended with a million eight five over twenty five years that's a two and a half percent inflation component on your stocks in the portfolio and you you didn't lose a penny because you held on for twentyfive you that's right you massamba problem folks bears your discussion on asset allocation ru aggressive moderate conservative or like my pal jim stewart faint hearted you've got a defined that we'll be back don't go away hi this is john attack for from bar rescue i've worked with over thousand restaurants too i know firsthand what it's.

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