Complimentary Basic Portfolio Analysis
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Helpful and Important Information
The basic FAIR SHARE MARKET EXPENSE ANALYSIS SM allows long-term investors to estimate cumulative dollar returns, egregious expenses, and associated risks by inserting the following items:
Amount invested ($1,000 to $1,000,000,000).
Expected annual return (1.0% to 15.0%). Global 50/50 balanced estimate was 6.3% as of January 1, 2023. Various sources and methods were used to calculate the consensus return. They are for educational purposes only to help investors set reasonable expectations. For example, due to a lack of clear data, ten-year estimates were used for the forty-year forecasts. Also, as a reference, from 1926 to 2022 the 50/50 balanced return and inflation estimates were 8.1% and 3.0%.
It should also be noted that global equity and fixed estimates as of January 1, 2023 were 8.0% and 4.6%.
Estimated total fees (generally 1.0% to 3.0%). Aggregate expenses can include:
Financial planning, registered investment adviser, and mutual and exchange traded fund fees;
Transaction (commissions, markups/markdowns, payments-for-order-flow, etc.) fees;
Custodial and other administration fees.
Midwest total fees. Combined internal and external portfolio management expenses should be 0.2% to 0.6%, depending on account size.
Time horizon in years. Forty years is used to help investors realize the cumulative negative effect that egregious charges have on their economic well-being – see The Wisdom of John Bogle – 2023 research. For large accounts, customized maturities, cash flows, and other factors can be provided.
NOTE: This chart is for illustrative purposes and does not represent actual or guaranteed results. For further information, please contact us.
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