Historical Returns

The historical returns from the stock market have been about 10 percent a year, with dividends reinvested. That’s about 7% a year in growth in the value of the equity. And then an adder of the 3-ish percent in dividends. Put them together and you get 10%, on average, over very long periods of time, i.e. "history."

To frame, roughly, the value of the stock market doubles, eh, about every 8-10-12 years or so...and yes, that is, in fact, how the rich get richer.

And no, this has nothing to do with the shoes that didn’t fit.

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