In the investing world, we like to use annualised returns when discussing the long-term performance of an investment portfolio. It’s certainly not a perfect gauge, but it’s pretty much the best we’ve got.
Furthermore, investing is not an exact science, so we have to rely on many assumptions and historical evidence to develop a reasonable investment strategy.
Since 1956, the UK stock market has rewarded investors with an annual return of about 11%.
But it’s important to remember that returns in any given year may be sky-high, extremely poor, or somewhere in between.
Interested in knowing more about our investment approach?
If so, here’s what I’d like to offer you: a (virtual) cup of coffee and a second opinion.
By appointment, I would be delighted to have a chat with you about your situation. I will ask you to briefly outline your financial goals – in other words, what you hope your investment portfolio will do for you. Then, I’ll review your strategy with you.
I look forward to hearing from you!
Full Disclosure: Nothing on this site should ever be considered to be advice, research or an invitation to buy or sell any financial products.