Key Takeaways
- The speaker started investing in the S&P 500 Index with just $5 back in 2019 during college.
- As of 2023, after consistently investing, the speaker has over $71,000 in one Vanguard account and over $10,400 in another.
- Vanguard's Vo (Vanguard S&P 500 ETF) is the primary investment vehicle, favored for its low expense ratio of 0.03%.
- Other recommended platforms include Fidelity and Charles Schwab, with alternative S&P 500 funds being SPDR's SPLG and Fidelity's FXAIX.
- Over the past year, the investment in the S&P 500 has resulted in a return of $866.43, translating to an 18.75% return rate.
- Dividend income from the S&P 500 amounted to $454, with quarterly increases observed throughout the year.
- Contributions are made weekly via dollar-cost averaging, typically between $500 and $1,000.
- Long-term commitment to investing in the S&P 500 is emphasized, regardless of market downturns.
- The S&P 500 is presented as a diversified and simple investment choice for both beginners and seasoned investors.
Investment Strategy
- Platform: Vanguard
- Primary Fund: Vanguard's Vo (S&P 500 ETF)
- Other Funds: Vanguard's VOO, SPDR's SPLG, Fidelity's FXAIX
- Investment Frequency: Weekly
- Contribution Amount: $500 to $1,000 weekly
- Total Annual Dividend: $454
Key Achievements
- Total Investment: Over $122,000
- Total Returns: $866.43 (18.75% return rate)
- Dividend Income: Quarterly increases, culminating in $454
Final Thoughts
- The speaker advocates for consistent, long-term investing in the S&P 500.
- Despite potential market declines, maintaining regular investments is advised.
- The S&P 500 offers a well-diversified portfolio, making it a reliable choice for investors at any experience level.