Why I Don't Use the S&P 500 as My Benchmark for Financial Success
Briefly

The S&P 500 has served as a primary benchmark for investment returns since 1957, with an average annual return of approximately 10.33%. Many investors, including top financiers like Warren Buffett, regard the S&P as the standard for measuring success. However, a Redditor expresses a different viewpoint, arguing that too much focus is placed on outperforming the S&P 500. This investor prioritizes generating enough dividend income to achieve financial independence, showing that performance can also be assessed through alternative methods rather than solely by stock index comparisons.
The S&P 500 has delivered an average annual return of approximately 10.33% since 1957, serving as a benchmark for many investors.
One Redditor believes too many people wrongly use the S&P 500 as a success benchmark, suggesting alternative measurements instead.
Most investors, including renowned figures like Warren Buffett, consider the S&P 500 the gold standard for measuring investment performance.
The Redditor prioritizes dividend income and is not concerned about underperforming against the S&P 500 or paying additional taxes.
Read at 24/7 Wall St.
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