I was checking my performance on my work's website and it stated that my actualy rate of return is 15% since Nov of 2006 and 5.7% since last quarter.
Is this good? Could it be better?
I am 22 so my investments are aggressive. Derek, you're back again!
I'd say your 15 % in 10 months is " respectable.".. not rockin' or flying, but good returns nontheless.
As I remember you picked a couple of moderate risk Vanguard funds... if you've made enough to branch off ( or are ready to add ) I'll still suggest something more" international" Vanguard has some... even if you just run it for comparison for say, six months...I think you'll like the results.
OF COURSE: NO GUARANTEES !
One other thing, it may seem like your investment didn't make a lot...but that's just " perception"...at 15% you'll really grow in a few short years...patience. The effects of " compounding" take just a little while to really show up.
Good luck. It's too bad most 401k providers don't hire financial planners to answer these questions. It's a lot deeper than this. It is good to make money, how much you make should be compared to a benchmark such as the S & P 500 for that particular timeframe.
Why type of investments do you have in your 401(k)? If it is a mutual fund, then there is a benchmark you can compare it to. It isnt really all that good compared to the market especially if your risk is high. I would take 15% a year in my 401k any day. | 