What is a good annual investment return?

The S&P 500 has returned about 10.3% annually since 1928. Beating that consistently puts you ahead of most professional fund managers. The average retail investor earns only about 3.6% annually due to poor timing decisions.

How do I calculate my portfolio return?

Annual return = ((Ending Value - Beginning Value - Net Deposits) / Beginning Value) x 100. For multi-year periods, use CAGR: ((Ending/Beginning)^(1/years) - 1) x 100.

What percentage of fund managers beat the S&P 500?

Over a 15-year period, roughly 90% of actively managed large-cap funds underperform the S&P 500 index, according to the SPIVA scorecard. This is why index investing is so popular.

Compare Your Returns

Did you beat the S&P 500? Buffett? The average retail investor? Or did you somehow do worse than Glen's 1-8 options record?

The Benchmarks

Glen's GSE Preferreds (Best)

FMCCN: $2.27 → $22.00 (~10x in 3 years)

+115.0%

Jim Simons (Medallion)

The quant GOAT. You didn't beat this.

+66.0%

Peter Lynch (Magellan)

13 years of absolute dominance

+29.2%

Warren Buffett (Berkshire)

The greatest investor of all time

+19.8%

You

Your reported return

+12.0%

Ray Dalio (Bridgewater)

All-Weather portfolio, risk parity pioneer

+11.4%

S&P 500 (Historical)

The index most active managers fail to beat

+10.3%

60/40 Portfolio

The boring default that quietly works

+8.1%

US Savings Account

Zero risk, guaranteed mediocrity

+4.5%

#10

Average Retail Investor

DALBAR study — buy high, sell low, repeat

+3.6%

#11

Glen's Options Record

1 win, 8 losses. +293% on the one winner though.

-89.0%

A Note on Comparing Returns

These comparisons are directionally useful but not perfectly apples-to-apples. Buffett's 19.8% is over 60 years. Lynch's 29.2% was 13 years. A 1-year return of 30% doesn't mean you're better than Buffett — it means you had a good year.

The average retail investor (3.6%) is the real benchmark that matters. If you're consistently above that, you're doing something right. If you're consistently above the S&P 500 (10.3%), you're in rare company.

And if you somehow did worse than Glen's options record (-89%), please read his worst trades page — you'll feel better about yourself.

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