Assumptions: | ||||||
1. $10,000 initial investment – let it grow until retirement at age 65 (no annual contributions) | ||||||
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 initial investment would grow to the following: | ||||||
with the | as a | Difference due to | ||||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |||
Scenario 1 | $160,227 | $342,363 | $182,136 | 114% | ||
Scenario 2 | $132,231 | $342,363 | $210,132 | 159% | ||
Scenario 3 | $109,029 | $342,363 | $233,334 | 214% | ||
Scenario 4 | $89,815 | $342,363 | $252,548 | 281% | ||
If you’re 30 years old: | ||||||
At age 65, your initial investment would grow to the following: | ||||||
with the | as a | Difference due to | ||||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |||
Scenario 1 | $114,239 | $222,512 | $108,273 | 95% | ||
Scenario 2 | $96,513 | $222,512 | $125,999 | 131% | ||
Scenario 3 | $81,473 | $222,512 | $141,039 | 173% | ||
Scenario 4 | $68,721 | $222,512 | $153,791 | 224% | ||
If you’re 35 years old: | ||||||
At age 65, your initial investment would grow to the following: | ||||||
with the | as a | Difference due to | ||||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |||
Scenario 1 | $81,451 | $144,618 | $63,167 | 78% | ||
Scenario 2 | $70,443 | $144,618 | $74,175 | 105% | ||
Scenario 3 | $60,881 | $144,618 | $83,737 | 138% | ||
Scenario 4 | $52,581 | $144,618 | $92,037 | 175% | ||
If you’re 40 years old: | ||||||
At age 65, your initial investment would grow to the following: | ||||||
with the | as a | Difference due to | ||||
Fin. Serv. Industry | DIY 2.0 Investor | Investment Fees | % Gain | |||
Scenario 1 | $58,074 | $93,992 | $35,918 | 62% | ||
Scenario 2 | $51,415 | $93,992 | $42,577 | 83% | ||
Scenario 3 | $45,494 | $93,992 | $48,498 | 107% | ||
Scenario 4 | $40,231 | $93,992 | $53,761 | 134% |
To view another set of scenarios (Example #1), CLICK HERE