What return do you aim for?

[ENP]

What is your yearly goal for your investments?

Is it a certain percentage return on your portfolio, to make x amount of dollars or something else?

Can you share a bit about your desired return, why you chose this particular yard stick and what sort of situation you are in?

e.g. for me I want a 14% return, I chose this because it will double by investment in 5 years time. I'm in my early 20's and in my initial stages of building a portfolio. I'm also looking to purchase a house before I'm 30.

[KJ]

Hi ENP-I have in mind 20% plus.I am retired & concentrate largely on quality shares with high div yields. This way I figure that the divs will get me half the way there before any capital gain.Also buying for div yield means that any gain,if you do happen to sell, is not taxable.I often read that shares with high div will not produce reasonable capital gains.I do not believe this to be correct.

[fungus pudding]

What is your yearly goal for your investments?

Is it a certain percentage return on your portfolio, to make x amount of dollars or something else?

Can you share a bit about your desired return, why you chose this particular yard stick and what sort of situation you are in?

e.g. for me I want a 14% return, I chose this because it will double by investment in 5 years time. I'm in my early 20's and in my initial stages of building a portfolio. I'm also looking to purchase a house before I'm 30.

I only hold shares for income and only PIES. They give me a steady income of a nit's nat under 6% - tax paid, which is the equivalent of 9%. No doubt they'll gain in value over time. They haven't done too well in that regard over the last 5 or 6 years, initially falling with the GFC but well and truly recovered now. Capital gain is a bvonus, and as I don't sell things, it doesn't worry me. Motto: Just keep stacking income and it's hard to go wrong.

[JBmurc]

What is your yearly goal for your investments?

Is it a certain percentage return on your portfolio, to make x amount of dollars or something else?

Can you share a bit about your desired return, why you chose this particular yard stick and what sort of situation you are in?

e.g. for me I want a 14% return, I chose this because it will double by investment in 5 years time. I'm in my early 20's and in my initial stages of building a portfolio. I'm also looking to purchase a house before I'm 30.

-Goal is always 100%+ p.a done it twice in the last several years(think my av. comes in the mid 20%) but with target growth that high means I'm a trader so pay tax and also deal with many high risk Micro-caps and never really even look at shares over billion market-cap ...if you took my average Mktcap of my holdings currently it would come in round the 200mill mark ...

[elZorro]

I am also looking for high capital gains, I'm prepared to take a punt. My main investment is in my own business, and I've paid off two properties. I've only been investing for a few years, have not done well yet, but I'm not heavily invested. You are entering the market at a tricky time, so you should be much more careful than I am. Your first property is the most important thing to get sorted. A bank will understand that risk, but not that of a new business, or a share portfolio.

Think about trading from home with your own sideline business for a few years, that can help a lot with interest costs. These days it can be as simple as selling imported gear on Trademe. But you might need the house first. Just think about what might happen if your savings are lost on the sharemarket. Houses might drop a bit, but there is no limit with shares.

Just my 2c worth.

[Stranger_Danger]

It may be unconventional, but I don't aim for anything in a pre-determined way.

With my listed investments, I try and beat the benchmark, but, I'm even fuzzy about what the benchmark is! Is it an index, when its very common for most of my listed investments to have market caps under 100mil, often well under, on various exchanges? Which index? etc etc

I think aiming for a set number (ie 20% per year) is very dangerous as there will be times when 20% is a bad result and other times when it is outstanding.

I more look at the bigger picture and, in a really undefined fuzzy way, try and beat what would seem to be fair or average.

Example - July 2007 - March 2009 (which proved be the low) my net worth essentially went nowhere. I never dropped toooo much below my July 2007 number, and at the low point at March 2009, I was a little over it.

Now, measured in percentages, these were not good years! However, they are years I am most happy about!

Why? Because from that point, I got to buy at March 2009 prices with July 2007's (which I regard as the peak of the boom) net worth!

Sometimes, preserving your wealth or growing it slowly is the key, other times (such as March 2009 until ???? ) it is more fertile soil.

Either way, I wouldn't want to delude myself with 20% when any old idiot could achieve that, or, tell myself off for going nowhere at a time when others are going backwards/broke.

To me, its not about absolute numbers. It is about having a gut feel for what you should be getting, what others are getting, what risks you are taking to get it, and whether or not you actually get what you thought you were going to get.

The numbers themselves change, as they should.

[Sauce]

I will be very happy if I can do 10pc + rate of inflation, annualized, averaged over my lifetime

cheers

Sauce

[slimwin]

Me too sauce. I'd add that that's after tax too.

[CJ]

My aim is to beat the market (NZX50) or the bank deposit rate, which ever is higher. If I am not doing that, I may as well choose an index fund.

[CJ]

My aim is a ROC of circa 20% after expenses (margin interest) and after tax and excluding capital gains (or losses) ..

Do you mean unrealised gains/losses? I assume you count realised gains if you are buying under priced stocks. If this is the case, how do you measure as there may be big periods of time when your return is zero (ie. when you dont realise any gains during that period (ignoring dividends of course))