Want $1 Million In Retirement? Invest $250,000 in These 3 Stocks and Wait a Decade.
While $1 million may be a comfortable retirement goal for some investors, it's essential to personalize your savings target based on your specific circumstances and objectives for your life in your golden years. Even as there are multiple ways of shoring up your financial life to plan for a more secure future in retirement, building up a profitable stock portfolio is one key component you shouldn't overlook.
No investment, regardless of how quality the underlying business, is totally impervious to the ups and downs of the market. However, if you have a larger amount such as $250,000 to put to work into fantastic businesses, it isn't a far stretch of the imagination that you could turn that investment capital into $1 million in roughly a decade. In fact, with a starting amount of $250,000, that would require an annualized return of roughly 15%, which is just a bit higher than the average annual S 500 10-year return, including dividends (approximately 13%).
As you look to grow your personal nest egg to or above $1 million, here are three stocks to consider for your basket of buys that could warrant part or all of a $250,000 investment. Alternatively, you could distribute that $250,000 investment capital equally across these three stocks. Diversification is key for any stock market portfolio, so you can capitalize on the maximum sources of growth in your portfolio in a variety of stock market environments.
Source Fool.com
