Whether you are new to the stock market or an experienced investor, you probably want to make as much money as possible. But the market can be volatile, և if you invest in the wrong places, you can easily lose more than you gain.
Although there is never a guarantee in the stock market, there is one investment strategy that will probably help you make money over time. Stay on it long enough և you can even become a millionaire investor.
Make a long-term investment
Investing in the stock market is not a plan to get rich quick, short-term strategies can cost you. Instead, divert your thinking to good things in life.
Long-term investments are about buying strong investments and keeping them as long as possible. Stocks of strong companies are likely to increase in value over time, maintaining market volatility. Filling your portfolio with this type of investment will gradually increase your wealth.
There are many long-term investments to choose from. If you enjoy researching companies, investing in individual stocks may be the right option for you. But if you prefer a practical approach, you can decide to invest S&P 500: index means.
How S&P 500 Indexes Can Make You a Millionaire
The S&P 500 Index is a stock that tracks the S&P 500. In other words, you instantly buy about 500 stocks per investment.
The S&P 500 Index is a relatively safe investment as it includes shares in some of the largest and strongest companies in the United States. Many of the S&P 500 companies include surnames, including: Amazon:, Apple, Microsoft:մայր Google parent company Alphabet:“These companies are likely to grow over time, և they also և have a good chance of returning after market crashes.
Since its inception in 1959, the S&P 500 has received an average yield of about 10% per annum. Of course, it experienced many ups and downs during that period. However, it does not earn 10% from year to year, but the high and low average come out over time.
By making consistent investments, you can become a millionaire with the S&P 500 index. For example, you invest $ 350 a month with an average annual return of 10%. In 35 years you will have about $ 1.138 million in savings.
The more time you save, the less you save each month to become a millionaire. For example, if you have 40 years to save եք and earn an average annual income of 10%, you only need to invest $ 200 a month to achieve $ 1 million in savings.
Help your money grow faster
Money takes time for your money to grow, but when it comes to the stock market, it slowly and steadily wins the race.
The S&P 500 Index is also one of the most unsuccessful investments, making it perfect for business investors. You never have to worry about buying stocks or deciding if it’s time to sell your investment. In fact, the more you invest, the faster your money will grow.
When it comes to choosing S&P 500 index funds, you have many options. Some of the most popular remedies include: Vanguard S&P 500 ETF: (NYSEMKT: VOO), iShares Core S&P 500 ETF: (NYSEMKT: IVV), և: SPDR S&P 500 ETF Trust: (NYSEMKT: spy),
It is possible to become a millionaire by investing in the stock market, but you can have the right strategy. By buying strong investments and keeping them for a long time, you can earn more than you think.
This article presents the opinion of a writer who may disagree with the position of the “official” offer of Motley Fool Premium Consulting. We are motley! Investigating an investment thesis, even our own, helps all of us think critically about investing, making decisions that will help us become smarter, happier, and richer.