I wasn't sure where to post this question so ASK a Foolish and here got chosen.

Thanks in advance!

Last year I purchased an equity that has so far returned 171% average for two years in a row. I only got one year of it, however. So on a $1000.00 investment I have more than DOUBLED the investment in one year. According to a program I just finished running, by the time I turn 59 1/2, the equity will be worth more than $76,000,000.00[seventy-six million dollars.]

I don't want to sound like a BEAR but if this BULL keeps charging around, I'll have over One Trillion dollars by age 66.[the earliest I can retire by current "wisdom"] All this on a one thousand dollar investment.

The basics are:
Initial Investment - $1000.00
Interest - 171% average so far
Years to retirement - 14

Now either my program is wrong [done many times before and it was correct], or it is right and that is my quandry.

Opinions as to the veracity of this is more than welcome. I hope it is correct.

I'm wishin' and a hopin' a happy new year to all.
Gelfson

P.S. It is in an internet equity

wasn't sure where to post this question so ASK a Foolish and here got chosen.

Thanks in advance!

Last year I purchased an equity that has so far returned 171% average for two years in a row. I only got one year of it,
however. So on a $1000.00 investment I have more than DOUBLED the investment in one year. According to a
program I just finished running, by the time I turn 59 1/2, the equity will be worth more than
$76,000,000.00[seventy-six million dollars.]

I don't want to sound like a BEAR but if this BULL keeps charging around, I'll have over One Trillion dollars by age
66.[the earliest I can retire by current "wisdom"] All this on a one thousand dollar investment.

The basics are:
Initial Investment - $1000.00
Interest - 171% average so far
Years to retirement - 14

Now either my program is wrong [done many times before and it was correct], or it is right and that is my quandry.

Opinions as to the veracity of this is more than welcome. I hope it is correct.

I'm wishin' and a hopin' a happy new year to all.
Gelfson

Why not share your good luck with the rest of us. You investment will go up as long as one of us wants to pay more than the last person. Do you know of any investment that has done as well as your project?

your program is probably right. even a small investment that compounds at 171% year after year yields large gains. beyold the power of compound interest.

however, as we engineers are often heard to say, math and reality are two different things. i highly doubt that any investment can retain that type of return for 14 years. even the great microsoft hasn't made returns like that. plus, if it's an internet stock, i doubt it can return that much for 14 years without turning a profit (which is probably the case).

the question to ask yourself is whether or not you think that your investment can, indeed, achieve that type of return for the next 14 years. i highly doubt it.

zay34kc3

I think the title of your thread says it all. Can you rationally expect that sort of rise to continue happening for a further 14 years? I personally would say "No Way", and continue to invest as though that stock were going to rise at traditional rates, which are say 10% a year. However, that doesn't mean you want to cash out. Long term holders of Microsoft have done pretty nifty over the years. And there was a case a few months ago of someone who put a few thousand into Wal-Mart a ways back, forgot he had it, and woke up one day with $8.4 million of Wal-Mart. I asked him to adopt me, but he didn't want to.

The extreme case in the news these days is Qualcomm, which is up by a factor of 25 this past year. You have to figure a similar rise this year is impossible.

You are not going to get those type of returns year in and year out.
If you believe in efficient market theory then over time stocks will average out to their norms. Alot of these stocks are raising because of momentum investing. When the momentum stops the stocks will drop like Niagra Falls.
The question that you should be asking yourself it what do I do to protect my new assets?
Inspite of what many say, raise in interest rates will increase the cost of investing. Margin interest will go up. It will have its affect the question is, when?

No I don't expect to see this type of return every year, but I sure hope they last for a nice decade or so. My portfolio is currently heavy in mutuals from a 401k, and Company Stock purchase program. I just recently [last millinnium ] was able to FF4 a portion of the system.

The good news is that all of this 171% return is in my roth IRA istarted last year! Smile with me my Foolish Brothers and Sisters. And hope for a decade of Bull runs.

C-Ya
Gelfson