Gains from equity investment etc

[Groat]

Currently what annual gains do people realistically expect from dumping their money on the likes of Blackrock, Fundsmith, IM, Vanguard etc?

3%? 5%? 8%?

[bompey]

More than cash but how much risk do you want? I would hope for 3 -5% p.a. over a 5 year period.

[CharlesElliott]

5.5%

[BobToc]

Inflation + 4-5%.

[LeoSayer]

Over the long term (10+years), 4% per year above inflation.

Over shorter time periods, who knows?

[Groat]

Thanks guys.

5-6% (inc inflation) seems to be about the average.

[rdjohn]

Groat said:

Currently what annual gains do people realistically expect from dumping their money on the likes of Blackrock, Fundsmith, IM, Vanguard etc?

3%? 5%? 8%?

The yield on Vanguard UK equity income is currently 4.2%.

I bought some about 11-months ago and its total return has been near 20%, so far. I accept that it was a no-brainer time to buy, but the yield alone makes it a pretty safe investment

[bitchstewie]

Depends surely?

Someone putting their money into Fundsmith or VWRL is presumably more risk averse around that slice of money than someone putting it into Scottish Mortgage Trust so presumably expects less reward in return for that risk?

All three are 100% equity though.

[valiant]

I’ve been with Vanguard for just over a year as my first S&S ISA and my target was just to beat inflation and the interest rate on my savings. Anything above that and I’d be happy.