Is the S&P 500 All You Need to Retire a Millionaire?
In the recent market turbulence, some of the most popular stocks have been absolutely hammered, with shares down by 50%, 70%, or even 90% or more from their all-time highs in a few cases. With all of the volatility in stocks, many investors have started taking a closer look at simply buying and holding index funds – specifically the S&P 500.
However, is the S&P 500 a good way to build retirement wealth all by itself? In this article, we'll look at the S&P 500's historical returns and what an investment in a simple S&P 500 index fund could do for your retirement portfolio.
From 1965 through 2021, the S&P 500 delivered 10.5% annualized total returns for investors. In individual years, returns have varied from a low of negative 37% in 2008 to a high of 37.6% in 1995, but over time, the clear direction has been up. That's a 30,209% total return over a 46-year period.
Source Fool.com
