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How investing $50,000 in the S&P 500 can make you a millionaire by retirement
How investing $50,000 in the S&P 500 can make you a millionaire by retirement

USA Today

time07-07-2025

  • Business
  • USA Today

How investing $50,000 in the S&P 500 can make you a millionaire by retirement

If you're an investor who just wants to put money into the stock market today and forget about it, the S&P 500 index can help you generate some terrific returns. The broad index tracks the leading stocks on U.S. exchanges and can give you broad, comprehensive exposure to the overall market without investing in small or risky companies. You have probably heard that investing in the market and perhaps the index has historically been a good move. But how good could its future gains be, and could investing $50,000 into an exchange-traded fund (ETF) that tracks the S&P 500 create a portfolio worth at least $1 million by the time you retire? Let's take a look. Compounded returns can add up significantly over the years Historically, the S&P 500 has generated annual returns of around 10%. That may not seem like much if your goal is to generate significant growth. But this is where patience can pay off richly. Let's assume you invest in the market and your average annual return is 10% over 10 years. By then, your investment will have more than doubled and be worth around 2.6 times its original value. And let's say you hold on for even longer -- 25 years. If you still end up averaging a 10% annual return, your portfolio will have grown to 10.8 times its original value. This is why over the long term, anyone can conceivably amass significant returns, regardless of their investing abilities. There's no secret to it: Investing in an exchange-traded fund (ETF) like the Vanguard S&P 500 ETF (NYSEMKT: VOO), which tracks the broad index, can be a great long-term strategy that yields impressive results. ^SPX data by YCharts. Projecting S&P 500 returns over the long run Rather than trying to guess what rate the S&P 500 will grow at in the future, I've created a table showing you a range of possibilities, with annual returns between 8% and 12%, using a $50,000 investment in the Vanguard S&P 500 ETF or similar ETF over at least 25 years. This can allow you to see both a worst-case scenario (the investment underperforms the S&P's historical average) and a best-case scenario (it does far better than usual). Calculations and table by author. While it is possible to get to $1 million from investing $50,000 into an S&P 500 ETF today, if the market underperforms, it could take 35 years or more to reach that milestone. The biggest unknown and most difficult variable to account for is the growth rate, which has a massive impact on your gains, as you can see from the table above. Why investing in the Vanguard S&P 500 ETF can be a great move By investing in the Vanguard S&P 500 ETF (or a similar fund), you will have a solid pillar upon which to build your portfolio. You can make smaller investments into other stocks, but if you have the bulk of your money in an investment with exposure to the S&P 500 index, that can give you a lot of long-term stability. And even if you're not confident about how the market will do in the long run, odds are you'll still be better off sticking with an ETF like this. Many fund managers struggle to outperform the index. And as confident as you may be about your stock-picking abilities, when deploying a buy-and-hold strategy for retirement that may span decades, it can be a lot easier and less risky to simply put that money into an ETF that tracks the S&P 500. David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy. The Motley Fool is a USA TODAY content partner offering financial news, analysis and commentary designed to help people take control of their financial lives. Its content is produced independently of USA TODAY. Should you invest $1,000 in Vanguard S&P 500 ETF right now? Offer from the Motley Fool: Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Vanguard S&P 500 ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider whenNetflixmade this list on December 17, 2004... if you invested $1,000 at the time of our recommendation,you'd have $660,821!* Or when Nvidiamade this list on April 15, 2005... if you invested $1,000 at the time of our recommendation,you'd have $886,880!* Now, it's worth notingStock Advisor's total average return is791% — a market-crushing outperformance compared to174%for the S&P 500. Don't miss out on the latest top 10 list, available when you joinStock Advisor. See the 10 stocks »

$1,000 in VOO Could Turn Into $2,100
$1,000 in VOO Could Turn Into $2,100

Yahoo

time27-06-2025

  • Business
  • Yahoo

$1,000 in VOO Could Turn Into $2,100

The Vanguard S&P 500 ETF has more than doubled in the past five years. Its passive approach and broad exposure makes for a hassle-free investment vehicle. While the S&P 500's valuation is historically high, powerful trends should drive stocks higher. 10 stocks we like better than Vanguard S&P 500 ETF › Putting money to work in the stock market is a smart choice for your financial future. Investors who think they need to start that journey with huge sums of capital are mistaken, though. Even investing a relatively small amount of money to start can put you on a path toward building wealth. And there are a lot of ways to gain exposure to large swaths of the market, even with a limited bankroll, thanks to investment vehicles like exchange-traded funds. The Vanguard S&P 500 ETF (NYSEMKT: VOO) is a particularly good choice. An investment of $1,000 in this ETF today could easily grow into a holding worth nearly $2,100 by 2030. The Vanguard S&P 500 ETF passively tracks the S&P 500 index. In other words, it owns a portfolio that includes shares of all of the index's components -- 500 of the largest companies trading on U.S. stock exchanges. The beauty of buying this ETF is that it requires almost no effort on the part of investors. It gives them broad diversification in one easy package. There is no need to spend time poring over financial statements, listening to earnings calls, or trying to pick individual stocks. Investing in those 500 companies as a group is essentially a bet on the development and inventiveness of the American economy. There are lots of active fund managers out there who charge their clients exorbitant fees for their expertise. Even so, the funds managed by most of these professionals underperform the broad market most of the time. In contrast, the fees charged by the Vanguard S&P 500 ETF are extremely low. Investors pay a tiny expense ratio of just 0.03% annually. So more of your money stays your money. Over the past five years, the Vanguard S&P 500 ETF has generated a total return of 106% (as of June 23). This would have turned a $1,000 investment made in late June 2020 into almost $2,100 today. Assuming the same rate of return happens between now and June 2030, investors would end up with the same result, which would be a great outcome. That return was much higher than the historical 10% annualized average of the S&P 500. It's important to remember that the future is hard to predict. Investors should consider both the bear and bull cases for how the Vanguard S&P 500 ETF could perform. The market, and thus the ETF, could certainly produce lower returns over the next five years than it did in the last five. One key argument supporting that bearish view is the market's valuation. One popular metric that investors use to gauge the state of the market is the cyclically adjusted price-to-earnings ratio, aka, the CAPE ratio. As of June 23, it sat at 36.1, well above its trailing 20-year average. In fact, the CAPE ratio has only been higher at the start of this year, during the bull run in 2021, and during the dot-com bubble at the turn of the century. Data shows that there is a strong inverse correlation between the starting CAPE ratio and the S&P 500's returns over the next 20 years. A higher CAPE ratio presages lower stock gains. That suggests some pessimism is warranted. But there are also reasons to be bullish. Powerful trends such as the massive capital inflows into passive investing vehicles like the Vanguard S&P 500 ETF, the rise of dominant tech enterprises, ongoing economic growth, and central banks' accommodative fiscal and monetary policies have all contributed to the S&P 500's ascent. I believe these trends will continue indefinitely. Also, many investors have been concerned about high stock valuations for a decade or more, yet the market has continued to march higher. Therefore, I tend to be on the optimistic side of the fence. I think there is a good chance that the Vanguard S&P 500 ETF's returns throughout the rest of this decade will resemble those of the past five years. Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Vanguard S&P 500 ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $689,813!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $906,556!* Now, it's worth noting Stock Advisor's total average return is 809% — a market-crushing outperformance compared to 175% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 23, 2025 Neil Patel has positions in Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy. $1,000 in VOO Could Turn Into $2,100 was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Buffett Lays It Out: $1,000 a Month in This Vanguard ETF Can Turn Into a Fortune in a Decade
Buffett Lays It Out: $1,000 a Month in This Vanguard ETF Can Turn Into a Fortune in a Decade

Yahoo

time24-06-2025

  • Business
  • Yahoo

Buffett Lays It Out: $1,000 a Month in This Vanguard ETF Can Turn Into a Fortune in a Decade

It's hard to beat stocks for long-term growth. Investing in a broad-market index fund makes stock investing simple -- and effective. Warren Buffett has long recommended them, too. 10 stocks we like better than Vanguard S&P 500 ETF › If you know you should be saving and investing for retirement, but you don't know where to start, perhaps take some advice from one of the world's greatest investors. Warren Buffett has increased the value of his company, Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B), by 5,500,000% (nearly 20% annually) over 60 years. In contrast, the S&P 500 index of 500 of America's biggest companies gained about 39,000% (10.4% annually, on average). You might want to invest in some shares of Berkshire Hathaway itself, as it has been built to last. But Buffett has recommended a different investment for most people. In his 2013 letter to shareholders, Buffett explained how he has directed his money to be invested for his wife, after his death. (Buffett turns 95 in August.) He wrote: One bequest provides that cash will be delivered to a trustee for my wife's benefit. (I have to use cash for individual bequests, because all of my Berkshire shares will be fully distributed to certain philanthropic organizations over the ten years following the closing of my estate.) My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard's.) I believe the trust's long-term results from this policy will be superior to those attained by most investors -- whether pension funds, institutions or individuals -- who employ high-fee managers. That's right: Buffett is a big fan of simple, low-fee, broad-market index funds for most investors. He knows, after all, that most of us are not skilled stock analysts with appropriate investing temperaments. Buffett is such a strong believer in the power of broad index funds that he put his money where his mouth is, entering into a 10-year, million-dollar bet in 2008 favoring index funds over hedge funds. He won the bet, of course. There are many reasons to favor index funds. For example: Low fees: The best index funds sport extremely low expense ratios (annual fees) -- in part because managers don't have to spend time studying the universe of investments and selecting when to buy or sell which ones. Instead, they just buy all or most of the securities in the index they track. An expense ratio of, say, 0.03% means you'll pay $3 per year for every $10,000 you have invested in the fund. Diversification: Buy into an S&P 500 index fund and you'll immediately have your money spread across hundreds of America's biggest and best companies. Ease: If you buy into an index fund in exchange-traded fund (ETF) form, you'll simply buy shares like shares of stock, typically via your brokerage or retirement account. Outperformance: Index funds are no slouches when it comes to performance, either. According to the folks at S&P Dow Jones Indices, over the past 15 years, the S&P 500 index outperformed a whopping 89.5% of managed large-cap mutual funds, and it outperformed 84.3% over the past decade. The S&P 500 has averaged annual returns close to 10% (ignoring inflation) over long periods, and the past few years have featured higher-than-average returns.) So the table below shows how you might amass a fortune by investing $1,000 per month -- $12,000 per year -- over some long periods. I'm including several possible growth rates, too: Investing $12,000 annually for Growing at 8% annually Growing at 10% annually Growing at 12% annually 5 years $76,032 $80,587 $85,382 10 years $187,746 $210,374 $235,855 15 years $351,892 $419,397 $501,039 20 years $593,076 $756,030 $968,385 25 years $947,452 $1,298,181 $1,792,007 30 years $1,468,150 $2,171,321 $3,243,511 35 years $2,233,226 $3,577,522 $5,801,557 40 years $3,357,372 $5,842,222 $10,309,707 Calculations by author via So which index fund(s) should you invest in? Well, you might just choose Vanguard's S&P 500 fund, as Buffett suggested. But you might, instead of or in addition to that, opt for an even broader index. Here are three funds to consider: ETF Expense Ratio 5-Year Avg. Annual Return 10-Year Avg. Annual Return Vanguard S&P 500 ETF (NYSEMKT: VOO) 0.03% 15.77% 12.95% Vanguard Total Stock Market ETF (NYSEMKT: VTI) 0.03% 15.07% 12.24% Vanguard Total World Stock ETF (NYSEMKT: VT) 0.06% 12.94% 9.43% Data source: as of June 18, 2025. Here's how broad these funds are: Vanguard S&P 500 ETF: S&P 500 index funds encompass 500 of the biggest companies in America, which together make up around 80% of the entire U.S. market. Vanguard Total Stock Market ETF: This ETF includes nearly all of the U.S. stock market, spreading your money across more than 3,500 stocks, not just 500. It includes lots of small companies, too. Vanguard Total World Stock ETF: This ETF encompasses roughly all the stocks in the world -- more than 9,700 stocks -- all in one easy, low-fee investment. However you go about it, be sure you have a solid retirement plan in place and that you're executing it. Know that the average monthly Social Security benefit was just $2,002 as of May, which is about $24,000 for the year. Most of us will need to set up more income than that for our futures. Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Vanguard S&P 500 ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $676,023!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $883,692!* Now, it's worth noting Stock Advisor's total average return is 793% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 23, 2025 Selena Maranjian has positions in Berkshire Hathaway. The Motley Fool has positions in and recommends Berkshire Hathaway, Vanguard S&P 500 ETF, and Vanguard Total Stock Market ETF. The Motley Fool has a disclosure policy. Buffett Lays It Out: $1,000 a Month in This Vanguard ETF Can Turn Into a Fortune in a Decade was originally published by The Motley Fool

5 Simple ETFs to Buy With $500 and Hold for a Lifetime
5 Simple ETFs to Buy With $500 and Hold for a Lifetime

Yahoo

time24-06-2025

  • Business
  • Yahoo

5 Simple ETFs to Buy With $500 and Hold for a Lifetime

The Vanguard S&P 500 is a great core holding. For investors looking for more growth and technology stock exposure, the Vanguard Growth ETF, Invesco QQQ Trust, and Vanguard Information Technology ETFs are great options. For investors looking for income, the Schwab U.S. Dividend Equity ETF is a great choice. 10 stocks we like better than Vanguard S&P 500 ETF › One of the best ways for both new and experienced investors to invest is through exchange-traded funds (ETFs). These funds provide instant diversification and don't require you to pour a ton of time into research. ETFs are also one of the best ways to implement a dollar-cost averaging strategy. This is a strategy where you would buy a set amount of shares of an ETF on a regular, consistent basis, regardless of its current performance. It's a proven strategy that can help you build wealth over time. So while $500 is a good starting point to invest, the key is to consistently add to that amount over time. Let's look a five simple ETFs that are perfect for implementing this strategy. The Vanguard S&P 500 ETF (NYSEMKT: VOO) is one of the most popular ETFs on the market, and for good reason. It tracks the performance of the S&P 500 index, which consists of around 500 of the largest U.S. companies based on market capitalization. It is a market-cap-weighted index, which means that the larger the company, the greater the percentage it is of the index. The S&P is widely considered the benchmark of the U.S. stock market, and the Vanguard S&P 500 ETF replicates the index's performance at a very low cost. Its expense ratio is a scant 0.03%, which means on a $500 investment, the annual fee is only $0.15. Most importantly, the Vanguard ETF gives investors solid diversification across sectors and has a strong track record. Over the past decade, it's averaged a 12.8% average annual return, as of the end of May. Staying within the low-cost Vanguard family, the Vanguard S&P Growth ETF (NYSEMKT: VUG) is another great option. The ETF tracks the performance of the CRSP US Large Cap Growth Index, which is essentially the growth side of the S&P 500. Growth stocks have been leading the market for more than the past decade, so the ETF is a great way to tap into this trend, with the stocks in the index growing their earnings at an average annual rate of 27.5%. The ETF has been a strong performer, generating an average annual return of 15.3% over the past decade, as of the end of May. The index leans toward technology stocks, with the sector making up 58.5% of its holdings. It also has a very low expense ratio of 0.04%. While its expense ratio of 0.2% is higher than those of the Vanguard ETFs, not many non-sector-specific funds can match the performance of the Invesco QQQ Trust (NASDAQ: QQQ). The ETF has produced an average annual return of 18.1% over the past 10 years, as of the end of May. The ETF replicates the performance of the Nasdaq-100 index, which consists of about the 100 largest non-financial stocks that trade on the Nasdaq exchange. Like the Vanguard S&P Growth ETF, the Invesco QQQ Trust is highly geared toward growth and tech stocks, although the weighting of its top 10 holdings is actually a bit more spread out. The ETF has not only been a great performer over the years, but it's been a consistent one. Over the past decade, it's outperformed the S&P 500 more than 87% of the time on a rolling 12-month basis. That's impressive. For investors looking for even more technology exposure, the Vanguard Information Technology ETF (NYSEMKT: VGT) is a great option. Technology, such as artificial intelligence (AI), is changing the world we live in, and large-cap technology companies are the ones benefiting the most. As a result, many have grown to become some of the largest companies in the world. The Vanguard Information Technology ETF is a great way to invest in the sector, and its performance has been nothing short of spectacular. The ETF has generated an average annual return of 19.8% over the past decade, as of the end of May. That said, the ETF, which tracks the MSCI US Investable Market Information Technology 25/50 Index, is very top-heavy, with its top three holdings of Nvidia, Microsoft, and Apple representing around 45% of its holdings. For investors looking for something with less technology exposure, the Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD) is a solid option. The ETF looks to replicate the performance of the Dow Jones U.S. Dividend 100 Index, which is made up of high-yielding U.S. stocks that have a strong track record of consistently paying dividends. As a result, the ETF has a yield of nearly 4%, making it a great investment for investors looking for income. The ETF has been a solid performer, with an average annual return of 10.6% over the past 10 years, as of the end of May. While that trails other ETFs on this list, it has nicely outperformed other large-cap value ETFs during this period. It also has a low expense ratio of just 0.06%. Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Vanguard S&P 500 ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 23, 2025 Geoffrey Seiler has positions in Invesco QQQ Trust and Vanguard S&P 500 ETF. The Motley Fool has positions in and recommends Apple, Microsoft, Nvidia, Vanguard Index Funds-Vanguard Growth ETF, and Vanguard S&P 500 ETF. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. 5 Simple ETFs to Buy With $500 and Hold for a Lifetime was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

The Stocks That Could Make Your Grandkids Rich as Kings
The Stocks That Could Make Your Grandkids Rich as Kings

Yahoo

time18-06-2025

  • Business
  • Yahoo

The Stocks That Could Make Your Grandkids Rich as Kings

One of the best ways to amass great wealth is to invest for a very long time. Young people are the ones with the most time. Get your young loved ones started investing as soon as they're able. 10 stocks we like better than Vanguard S&P 500 ETF › We publish a lot of articles on how you might become a millionaire -- and it's true, you could become a millionaire. But young people can aim much higher than that: They could become multimillionaires, because they have a lot more time in which their money can grow for them. Here's a look at a handful of investments that have a lot of room to grow over the coming decades. See if you want to recommend any to your kids or grandkids. It's rarely too early to get your kids investing and on the path to smart money management. First, though, here's a review of how money grows, because it's important to understand what's possible: Growing at 8% for $6,000 invested annually $12,000 invested annually 5 years $38,016 $76,032 10 years $93,873 $187,746 15 years $175,946 $351,892 20 years $296,538 $593,076 25 years $473,726 $947,452 30 years $734,075 $1,468,150 35 years $1,116,613 $2,233,226 40 years $1,678,686 $3,357,372 50 years $3,718,030 $7,436,061 Calculations by author via See? Multimillionaire status is possible! It does take time, though. If your kid or grandkid is, say, 10, they have 50 years until they turn 60, which is a somewhat early age at which they might retire. For compounding to do amazing work, you need three things: time, meaningful investments, and a good growth rate. Simply investing in the S&P 500 can be all you need. Over many decades, it has averaged annual returns close to 10%. I've been a little more conservative in the table above because 10% average returns are not guaranteed. Here, then, are some investments to consider. I'm focusing on exchange-traded funds (ETFs) here, because they're very much stock-like, while also being funds. They trade like stocks, but each of these is invested in an array of companies, offering instant diversification. A low-fee S&P 500 index fund is hard to beat, and even Warren Buffett has recommended it for most people. It will immediately have you invested in 500 of America's biggest companies -- including all of the "Magnificent Seven" -- which are Apple, Amazon, Google parent Alphabet, Facebook parent Meta Platforms, Microsoft, Nvidia, and Tesla. You might cast an even wider net by investing in an index fund that aims to deliver the performance of the total U.S. stock market, or one that tracks the total world stock market. Here are three solid broad-market index funds to consider: Vanguard S&P 500 ETF (NYSEMKT: VOO) Vanguard Total Stock Market ETF (NYSEMKT: VTI) Vanguard Total World Stock ETF (NYSEMKT: VT) The Vanguard S&P 500 ETF has averaged annual gains of about 13% over the past decade, and 16.2% over the past five years. If you want to aim for a little faster growth, consider the Vanguard Growth ETF (NYSEMKT: VUG). It tracks the CRSP U.S. Large Cap Growth Index, which is focused on faster-growing large companies. It recently held 166 stocks, with about half of them in the technology sector and close to 27% divided between the consumer cyclical and communication services sectors. Over the past decade, this ETF has averaged annual gains of 15.5% -- and 17.3% over the past five years. To aim for even fatter returns (while accepting more risk), consider one or two ETFs such as the Technology Select Sector SPDR ETF (NYSEMKT: XLK). It recently held 69 stocks, involved in businesses such as semiconductor equipment, internet software and services, IT consulting services, computers, and peripherals. Over the past decade, this ETF has averaged annual gains of 20.3%, and 20.2% over the past five years. Note, though, that when market downturns happen, as they occasionally do, high-flying growth stocks such as those in ETFs such as these may drop sharply in value -- often recovering eventually. As you aim to help your grandkids (or kids) become multimillionaires, here are some things to keep in mind: Whether you're buying into one of these ETFs or some stocks, buy to hold. That means you keep an eye on the investments, in case some situation develops where selling might be smart. With these broad funds, though, holding for decades is more likely to be safe and effective. Note, too, that the amount invested every year matters a lot. Young people may only manage, say, $100 or $500 per month. But as they grow and enter the workforce, it's important to keep investing and to invest more each year, as they're able. Their earliest invested dollars are the most powerful, as they have the most time in which to grow. They may need to take some of this money out for school or a down payment, but it's good to keep as much as they can growing for their far-off futures. It's also vital to keep inflation in mind. We might think that retiring with $2 million can put us on easy street, but in 50 years, that sum might have the purchasing power of only $400,000 or so. Thus, for best results, young people should aim to invest aggressively. At some point, perhaps as they approach and enter middle age, they may find that their portfolios have grown enough to fund a comfortable retirement. At that point they might just retire, or keep saving and investing, but with a little less urgency. So do your young loved ones a favor, and give them a nudge in the direction of financial independence. Before you buy stock in Vanguard S&P 500 ETF, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Vanguard S&P 500 ETF wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $658,297!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $883,386!* Now, it's worth noting Stock Advisor's total average return is 995% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Selena Maranjian has positions in Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Vanguard Index Funds-Vanguard Growth ETF. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, Tesla, Vanguard Index Funds-Vanguard Growth ETF, Vanguard S&P 500 ETF, and Vanguard Total Stock Market ETF. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. The Stocks That Could Make Your Grandkids Rich as Kings was originally published by The Motley Fool Sign in to access your portfolio

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