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What % return consider a very good return in stock investment?


What % return consider a very good return in stock investment?

Depends if you're speculating or taking a long term position.

The former attracts (and requires) a high return (30-60%) to offset the high risk and so you can get out quickly.

The latter, say over 5-10yrs, you just have to beat the index. The Dow and FTSE have performed at roughly 10% annually over the last 5 years (on average! Last year they lost 5%)

If you are not at least making the "risk-free rate"* - the rate at which banks lend to each other - then you're obviously better off putting the money in a high interest account

* this rate is set by the federal reserve in the US and the Bank of England in the UK; currently 3% and 5.25% respectively

well usu. one purchases stock and keeps for five years to see an average return b/w 10-15%. So i'm guessing anything over that and its a really good return.

it depends upon your mental stisfication.otherwise 15to 20%is sufficent.

in my view, good if higher than inflation rate and fits to its risk.

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