Can an Average Income Person Gain an Incredible Net Worth Through Investing?

Can we expect folks with average or below average incomes to be able to amass a sufficiently large financial nut in retirement? Financial sites like to stress that good decisions over a sufficiently long time lead to very good results. Applied to your retirement, that means small savings sacrifices over a long career compounded at a reasonable … [Read more...]

The Aspirational Class: How Many Accredited Investors Are There in America?

We estimate that 8.25% of all American households - or roughly 10,108,811 households - count as Accredited Investors. (As of 2013, calculated using Federal Reserve SCF microdata). Furthermore, we estimate they hold about 70.28% of all private wealth in this country, or a whopping $45.5 trillion. But, let's back up for a second, for everyone … [Read more...]

Is the NASDAQ Back to Its Record High Yet? (2015 Edition)

If Yahoo! Finance can be believed (yes), then the NASDAQ is approaching its all-time closing high of 5048.62, which it reached on March 10th, 2000.  However, that doesn't really tell the whole story - the last fifteen years have been filled with dividend payments making today look 'better'... but have also been filled with inflation, making today … [Read more...]

Yet More Retrospectives: Past Stock Contest Picks

I know, you're probably getting sick of these at this point - but what's the point of maintaining a website for 6 years if we don't go back and check out some of the silly/smart claims we made in the past?  Also, this will be the last one for a while, at least until we talk about our savings rate around tax time: a retrospective looking at how … [Read more...]

More Retrospective: My Performance vs. the S&P 500

I've been an investor for a while now, but I bought my first individual stocks on 3/3/2009 - fortuitously (through luck or skill or otherwise), just 6 days before the market's ultimate bottom.  Those purchases were very successful, and all proceeded to beat the broader S&P 500 rally from that point. Over the last 18 months or so, the … [Read more...]

A Retrospective – Our Stock Contest Performance in 2014

Since we gave you the justification for our picks on Monday, we also wanted to talk a bit about our trolling picks from last year - which earned us a rule named after us in the Financial Uproar Stock Picking Contest - namely, that any ETFs purchased had to be derived from stocks. Yes, we were winning through September - but since there is no way … [Read more...]

Stock Picks for 2015!

One of our annual traditions in this crazy financial sphere of the internet is to compete in a so-called 'fantasy investing league' with few of our favorite writers (and commenters!), run by our friend Nelson at Financial Uproar.  The rules are simple: Pick anything Nelson can track easily with Google Finance. The 'start price' is the open on … [Read more...]

2014 NASDAQ Return

(We include reinvested dividends) You've probably already seen other financial websites reporting the correct-yet-incomplete number of 13.85% for the NASDAQ's return.  You come to Don't Quit Your Day Job... for the real number, though, of course - which we are happy to report that, dividends reinvested, the NASDAQ returned 15.18% to investors in … [Read more...]

2014 Dow Jones Industrial Average Return

(We include reinvested dividends) Unlike typical financial sites which have already reported that the Dow Jones Industrial Average returned a 'meh' 7.55% from the open on January 1st until the close on the 31st of December, we here at Don't Quit Your Day Job recognize that real investors don't burn their dividend checks when they receive … [Read more...]

2014 S&P 500 Return

We include dividend reinvestment in our calculations Although most financial media sources will list 11.74% as the S&P 500 index's return in 2014, an investor reinvesting dividends in the S&P 500 would have theoretically done even better: 14.04%. Subtract from that (of course) applicable taxes, fees, slippage/timing concerns - but... … [Read more...]