Question: ) Starting with nothing, how much would you need to save and invest at the beginning of each weak in a U.S. equity mutual fund

) Starting with nothing, how much would you need to save and invest at the beginning of each weak in a U.S. equity mutual fund (say based on the S&P 500, that averages 10% per year and has a standard deviation of 20% per year over long periods of time), to have a portfolio worth $1,000,000 in 20 years? State all assumptions, and show your work.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!