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FTSE shares: a simple way to retire early in future?


A woman riding her old bike along the Esplanade beach in Aberdeen, Scotland.

Photo source: Getty Images

People buy stocks for various reasons. Some want to try to gain a negative income now, while others hope to build an egg and retire early. With some known FTSE 100 The stocks that are trading in what I see are very attractive, I think the money fed money in such stocks may now be a way for the investor to try to retire early in the future.

Building an egg nest over time

To do this, think about the example of a person who puts 500 pounds per month for 20 years. Even just placed below it, after two decades they will have 120,000 pounds. Someone can help retire.

One of the benefits of placing money below the rank is that it still has to have the same nominal value after 20 years, as long as mice, fire, humidity, taxes, or some other person did not get it first.

but face Value and actual The value is not usually the same, due to the effects of corrosion.

FTSE’s money placing money can help grow in the long run, which helps to finance the previous retirement.

Building a blue wallet

Although the money under the bed still should be there years after years, the money that is placed in the wrong arrows can end.

Diversification through various stocks can help manage this risk. It is clear that choosing the right stocks also matters and this is not always easy even for experts.

This is where I think the commitment to the participation of FTSE 100 has proven its usefulness can help it.

Like any shares, they can also do this badly, but in general I think companies and expertise in force in FTSE 100 can help them storms. They may lack the possibilities of the growth of some smaller companies in emerging industries – but the risk profile tends to be different as well.

For example, if the investor begins to put 500 pounds per month in SIPP today and achieve an annual growth rate of 8 %, after 20 years, it will be more than that. 284K pounds sterling.

Search for stocks to buy

This compound annual growth rate can come from the growth of stock prices and any paid profits. The stocks can decrease somewhat in the value, though, which can affect performance.

An example of the FTSE 100 share, I hope I can achieve this type of performance in the coming decades, Think Diago (LSE: DGE).

the Guinness BreWer grew for the share annually for decades. Current profit return of 4.2 % higher than average 100.

In contrast, the 30 % decrease in the share price in the past five years is sad given that the blue chip index has increased by 43 % during that period.

I see this as a possible opportunity for investors – and for this reason I bought.

The city is concerned about risks including weak demand in Latin America, soft consumption patterns for excellent spirits, long -term declines in the number of people who drink younger. All of these seem to be the actual risks to me.

More positive, though, Diago is still a great profit. She built a set of distinguished brands that give pricing power and owns unique and cheerful distillation factories and production facilities around the world. This week, the FTSE share has reached its lowest price For a decade.


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