Part 3/9:
When considering the stock market, many refer to the S&P 500 Index, a diverse collection of 500 strong companies in the U.S. This index has a robust track record of providing notable returns, making it a commonly preferred choice for many investors. However, it’s essential to recognize that many technology stocks, which comprise significant portions of the S&P 500, reinvest profits rather than distribute dividends. Typically, investing in an S&P 500 ETF yields around 1-1.5%. For example, investing £10,000 in the Vanguard S&P 500 would return annually approximately £118.