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Re: Nikodemos post# 39906

Monday, 05/06/2013 1:46:15 PM

Monday, May 06, 2013 1:46:15 PM

Post# of 380514
Don't get your hopes up ...I'm pretty sure Warren won't be investing in NTEK anytime soon

Let's put your lucky Coca-Cola stock holder's returns in perspective.

First, while $40 in 1919 may sound like a lot, it's the equivalent of about $531 today. It's a somewhat significant sum of money, but with some concentrated cost-cutting over a few months -- of cutting cable or skipping dining out for a while -- it's an amount that's not all that difficult for the average American to save up.

Obviously, the time frame (93 years) is more than a decade longer than the average American's life expectancy [but 7yrs less than a hundred], so it's unlikely any one person lived long enough to toast their $10 million good fortune. But their heirs certainly were around to thank grandpop for his savvy investment. A similar time frame could be achieved by buying stock today for a newborn child or grandchild.

So we've accounted for two main factors for the Coke investor's long-term success -- a decent-sized initial investment and the wherewithal to hold on to that stock for a lifetime.

However, the most difficult part of achieving this scenario today is that very few companies last as long as Coke has.