Savvy Trades and Investments

[researcher59]

Wade: that chart is very misleading because it excludes dividends which historically for the S&P were much higher than now. Even for someone who foolishly put all their money into the S&P at the exact peak in 1968, never added another penny, and then withdrew it all in early 1993, they made 4.1% annualized AFTER inflation including dividends reinvested. Someone who added to their portfolio with dollar cost averaging did far better. And experienced investors who invested selectively in undervalued stocks did even much better.

Here's an S&P total return calculator that adjusts for inflation and includes reinvested dividends - it gives a far more accurate picture on total returns than the chart you referenced which omits dividends -

https://dqydj.com/sp-500-return-calculator/