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Thats what I want to do! I'm 21 now so in 25 years I want to amass a million bucks off of a mutual fund....I'm thinking about opening an account with JANUS. Aren't they the ones that did the 25 year study???
I hate school but I'll hate working until my 60's even more..So at age 46 I want to be free!!!

Your thoughts please...

Mike
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No. of Recommendations: 9
Thats what I want to do! I'm 21 now so in 25 years I want to amass a million bucks off of a mutual fund....I'm thinking about opening an account with JANUS. Aren't they the ones that did the 25 year study???
I hate school but I'll hate working until my 60's even more..So at age 46 I want to be free!!!

Your thoughts please...

Mike
**************

Well, if you want to make lots of money and retire early; then school is definitely one of the best things you can do. A degree (or two or three - I have two proper ones) gives you a better choice of jobs and pay.

Next you want to save as soon as possible, but I think you've figured that out. Contribute to your fund regularly. You might want to consider DRIPs if each contribution is quite small.

Janus advertise a lot on TV. Who pay for that advertising? Their clients do. You might want to consider someone else who doesn't charge as much (I'm with Vanguard). A company that charges less, means there's more to be invested. It might not seem much, but as compounding goes, every percent counts.
Also, I suggest you look at Index Funds. (my IRA is a Vanguard S&P500 Index Fund). Sounds dull? Maybe, but they give some of the best reliable returns and at the lowest costs (not dull).

Read the Fool School articles, or buy the book. This will lead you through all of this - why an Index Fund is so much better than virtually all mutual funds in existence; what a DRIP is; the power of compounding; 401ks, IRAs, etc.


As for a million dollars? A million dollars isn't as much as it used to be. When you're 46, its going to be a lot less...
(ie. personally, I wouldn't retire just because I've reached $1Million)

Hope this helps...


RB
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No. of Recommendations: 3
>>
Thats what I want to do! I'm 21 now so in 25 years I want to amass a million bucks off of a mutual fund....I'm thinking about opening an account with JANUS. Aren't they the ones that did the 25 year study???
I hate school but I'll hate working until my 60's even more..So at age 46 I want to be free!!!
<<

It's great that you have a goal and are starting at such a young age. The sooner the better.

Do you mean mutual funds instead of "a mutual fund"? It can be done with one mutual fund if you get the right one out of the thousands out there. But you will also take on alot of risk.

Have you read about diversification/asset allocation? Do you know about the different type of mutual funds? Class A, B, C. Expense ratios?

Why Janus? Have you been to their site? Most of their funds are in the negative 20's for the year. Will you be able to ride out the highs and the lows?

Have you looked into index funds?

I ask alot of questions, don't I? I just want you to make sure you become educated in what you are doing so you can reach your goals and retire when you want.

I know you said you hate school, but even though education does not guarantee you will succeed, it sure cuts down on the risks of making mistakes. So if you haven't go to Fool School and read everything and then read it again. http://www.fool.com/school.htm?REF=PRMPIN

Good luck,

Dogpile :-P

"An ounce of prevention is worth a pound of cure."
- Henry de Bracton













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Greetings SkewerOfDreams,

Thats what I want to do! I'm 21 now so in 25 years I want to amass a million bucks off of a mutual fund....I'm thinking about opening an account with JANUS. Aren't they the ones that did the 25 year study???

What study?

Have you seen http://boards.fool.com/Message.asp?mid=14489596 ?

Also, how much do you plan on contributing to make that million and is that not an inflation adjusted amount or money or is that $1 million in today's dollars adjusting for inflation which is pushing 3% these days?

I think you can do it as long as you realize the formula for it, what returns you need and how much you need to contribute to get to the $1 million mark, eg over 25 years if you put away $40,000/year then that is $1 million.

I hate school but I'll hate working until my 60's even more.

How do you know that you will hate every job there is out there? Seriously, I'd like an answer to that.

JB
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Thats what I want to do! I'm 21 now so in 25 years I want to amass a million bucks off of a mutual fund.

Uh-huh.

Nothing in life is guaranteed.

Past performance does not guarantee future results.

Look before you leap.

But most important... a penny saved is a penny earned. It's all about spending habits and your attitude about "lifestyle". One million dollars is an achievable goal with the right habits... however it is generally agreed over on the "Retire Early Home Page" board that you can retire as soon as you decide that you can live on an annual withdrawal of 4% of your portfolio. Are you sure that you'll like living on whatever $40,000 will be worth in 25 years?

I hate school but I'll hate working until my 60's even more..So at age 46 I want to be free!!!

Free to do what, when you hated school and plan to hate working?
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I hate school but I'll hate working until my 60's even more..So at age 46 I want to be free!!!

*****************

As both a Janus investor, and a Vanguard investor, I can't add much to what the other's have suggested to you about the value of low-expense ratios, the value of index funds, and the horror of poor returns in expensive, actively managed funds. If I were to start today, it would all go to Vanguard and/or TIAA-CREF.

As a college professor, and a person who "hated school" until I went back at the age of 31 (7 straight years...2 AA's, a BA, and a Masters) all I have to ask is: How do you know that you won't find something in school that you really love, and will allow you not to hate working all of your life? Because, if you don't find something to do in your life that is meaningful to you, you will never be free, working or not.

Caat
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Hate work , hate school , love money ; I gotta be free. Whole lotta emotion with very little focus. While I love your dream you best turn your head around about 180% on your work and school attitude. You may find one day you're the most opinionated man in line at the soup kitchen.

Who said " Youth is wasted on the young ?"


Or --"If you think education is expensive- try ignorance."

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