Hi biz can someone explain this to a retard…>invest money 20 years ago in VTI total market or equivalent, never add money ever again, auto dividend reinvest…>20 years passes, millions of man hours goes into earning and trading within the underlying companies, the whole market and economy create profits and the value of the etf share rises >yearly average total returns over 20 years is 10.45% for the investor.. >if you invested $360 in 2003, by 2023 it is now $2825>congratulationsOr, >buy gold 20 years ago >2003, $359/oz>wait 20 years, nothing happens, no economic activity, no trading, no profits.. it just sits in your bedside drawer..>now $2000>using a compound interest calculator you find out that’s an 8.7% average annual performance for 20 years>congratulations, you didn’t invest in any pedo woke immoralBullshit globo corps… and you landed within 2% the same performanceDoesn’t this imply that any gains in the etf are basically just from dollar devaluation, hence why the gold also performed without being active in the economy?Oh… and the gains are ‘tax free’ and your wealth in retirement is invisible to the government when they’re considering your means tested benefits. Also.. inheritance made simple, gov can’t touch it, you just give it to your kids and they continue to cash it in for dollars and never pay the government their cut…What’s the catch? >in before cherry picking, It’s 20 years, try 30 of you want
>in post apocalyptic nuclear winter hell>at the warlords compound in his general store>havent eaten in days>excuse me sir?*huge african storekeeper looks at you and smirks*>do you take shares of VTI?
>>54203503the gains are dollar devaluation.Also you have taxes when you try to escape their bullshit system
The whole stock market is a lie? The price of a share just reflects real inflation?
>>54203503Index funds aren't for poor people. They're for dumping half your paycheck into during your 20s and 30s so you can retire at 45.
>>54203829>just waste half your money for 20 years bro
>>54203523>in post apocalyptic nuclear winter hellFortunately, this is a scenario that only exists in your head.
>>54203829Who said anything about poor people?If you invested 100% in gold or 100% in Vti for the last 20 years, you’d have made 8.5% per year on the gold on average and 10.5.% on the stocks… except, the gold didn’t do anything… it didn’t require billions of people to work, pay taxes, trade, burn fossil fuels, etc… it just sat there and nearly matched the performance of the total US market
>>54203815Yes. How do you think they get the semi-rich to follow the narratives of the elites? they get carried through inflation.
>>54203523This guy thinks about big burly black men overpowering him in his goldcuck doomsday fantasies.
>>54203846Yes. That is literally the point. It's a safe dumping ground for future money. Index funds aren't for the middle class. They're for the techies working in California clearing 300k a year. If poor people (IE the average Joe and below) want to have a shot at retirement they need god tier matching and to put their money in balls deep moonshots. Stuff like crypto, mining micro caps and start up IPOs.>t. Am Joe with rich parents who disowned him90% of my dad's networth was in index funds from the day he turned 18. But he didn't get rich because of them
if you bought fucking rice futures you already outperformed both by orders of magnitudeshut the fuck up about your shiny rock