Investing is one of the few aspects of adult life where one’s youth can prove to be the greatest asset.



The graph above shows three investors, each of whom invests $1,000 a year (less than $100 per month) until age 65. One investor begins at age 25, investing a total of $40,000, another at age 35, investing a total of $30,000, and one at age 45 investing a total of $20,000. Assume each earns 8.5 percent per year (which is by no means guaranteed) Due to compounding, the youngest investor retires with more than double the amount earned by the investor who waits until age 35 (while only starting with a $10,000 head start) and more than six times the amount earned by the investor who waits until age 45 (with only a $20,000 head start).

This chart is a hypothetical illustration of what you may be able to achieve by starting to invest early in life. This chart represents the growth of a systematic investment at 8.5% return with all dividends reinvested. This chart does not reflect the effects of taxes. Past performance is no guarantee of future results. This chart does not represent the performance of the GendeX Fund or any other security.