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4x4is16Legs t1_j2cq5hw wrote

I lost 70k in 2008 from my retirement account through divorce. It was in a moderate aggressive mutual fund. Can you estimate how much it would have grown to now? I am unable to even know how to begin figuring it out. A rough estimate is fine. Thank you in advance.

Edit: this is not just a “what’s gone is gone” but a situation for a “make amends” estimate. I appreciate any input

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Ill_Possible_2628 t1_j2dg2if wrote

If you invested $70000 in the S&P 500 at the beginning of 2008, you would have about $256,352.88 at the end of 2022, assuming you reinvested all dividends. This is a return on investment of 266.22%, or 9.15% per year.

This lump-sum investment beats inflation during this period for an inflation-adjusted return of about 169.77% cumulatively, or 6.92% per year.

If you used dollar-cost averaging (monthly) instead of a lump-sum investment, you'd have $328,833.90.

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dequeued t1_j2egn0g wrote

A "moderate aggressive mutual fund" isn't going to be 100% US stocks and US stocks have outperformed international stocks and bonds over the last 15 years. I think that number is going to be way too high for what OP is trying to estimate.

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dequeued t1_j2eg38q wrote

It's hard to say without knowing the exact mutual fund because mutual funds vary significantly. A mutual fund investing almost entirely in US stocks would have a very high return over that period, but one investing more into international stocks or bonds would have a somewhat lower return.

  • If you had invested in VSMGX (Vanguard LifeStrategy Moderate Growth Fund) which is about 40% bonds, the average total return each year over the last 15 years is 4.78%. A $70,000 investment would be worth about $141,018 now.

  • If you had invested in VASGX (Vanguard LifeStrategy Growth Fund) which is about 20% bonds, the average total return each year over the last 15 years is 5.34%. A $70,000 investment would be worth about $152,756 now.

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