Assumptions: | ||||
1. Invest $250/mth ($3,000/yr) until retirement at age 65 | ||||
2. Annual Return = 9.5% (average market returns over the past 100 years) | ||||
3. “Fin. Serv. Industry” = Investing with an advisor in the Financial Services Industry | ||||
4. “DIY 2.0 Investor” = Investing on your own as a Self Empowered Investor | ||||
5. The table directly below shows net returns and total fees/expenses (hypothetical) | ||||
Net Returns – Annual (after expenses) | Total Fees/Expenses – Annual | |||
Fin. Serv. Industry | DIY 2.0 Investor | Fin. Serv. Industry | DIY 2.0 Investor | |
Scenario 1 | 7.00% | 9.00% | 2.50% | 0.50% |
Scenario 2 | 6.50% | 9.00% | 3.00% | 0.50% |
Scenario 3 | 6.00% | 9.00% | 3.50% | 0.50% |
Scenario 4 | 5.50% | 9.00% | 4.00% | 0.50% |
COMMON SCENARIOS | ||||
If you’re 25 years old: | ||||
At age 65, your annual investment dollars would grow to the following: | ||||
with the | as a | Difference due to | ||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |
Scenario 1 | $622,369 | $1,085,306 | $462,937 | 74% |
Scenario 2 | $542,953 | $1,085,306 | $542,353 | 100% |
Scenario 3 | $474,217 | $1,085,306 | $611,089 | 129% |
Scenario 4 | $414,693 | $1,085,306 | $670,613 | 162% |
If you’re 30 years old: | ||||
At age 65, your annual investment dollars would grow to the following: | ||||
with the | as a | Difference due to | ||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |
Scenario 1 | $443,740 | $705,374 | $261,634 | 59% |
Scenario 2 | $396,291 | $705,374 | $309,083 | 78% |
Scenario 3 | $354,363 | $705,374 | $351,011 | 99% |
Scenario 4 | $317,296 | $705,374 | $388,078 | 122% |
If you’re 35 years old: | ||||
At age 65, your annual investment dollars would grow to the following: | ||||
with the | as a | Difference due to | ||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |
Scenario 1 | $303,219 | $445,726 | $142,507 | 47% |
Scenario 2 | $275,968 | $445,726 | $169,758 | 62% |
Scenario 3 | $251,405 | $445,726 | $194,321 | 77% |
Scenario 4 | $229,258 | $445,726 | $216,468 | 94% |
If you’re 40 years old: | ||||
At age 65, your annual investment dollars would grow to the following: | ||||
with the | as a | Difference due to | ||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |
Scenario 1 | $203,029 | $276,972 | $73,943 | 36% |
Scenario 2 | $188,146 | $276,972 | $88,826 | 47% |
Scenario 3 | $174,469 | $276,972 | $102,503 | 59% |
Scenario 4 | $161,898 | $276,972 | $115,074 | 71% |
To view another set of scenarios (Example #2), CLICK HERE