To save up to a million in ten years, you need to maintain a pace of just over SEK 8,300 a month if you save on your own – more than most people can afford.
If you invest on the stock market, it can go faster, Dagens Nyheter writes in a new article.
According to their calculation, that sum can be reduced by SEK 2,300 a month. This has resulted in an annual stock market rise of seven percent, slightly lower than the historical return on the Stockholm Stock Exchange.
According to DN’s calculation, the following applies to saving SEK 1,000,000 if you invest on the stock market:
The examples above do not take into account inflation or possible stock market declines.
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To the magazine recommends Patrick SiegbahnCEO of Småspararguiden and independent financial advisor, to keep the money in an ISK account.
– Use an ISK account and invest the money in a global index fund. It’s a cheap type of fund and it gives you exposure to about 1,500 stocks. Your risk spread will be great and you don’t have to worry about an individual company going bankrupt.
Shoka Åhrmansavings economist at SPP, reasons the same way.
– If you have no knowledge or commitment to the stock market, you will get far with a broad global index fund or equity fund. Keeping an eye on the fund fees is especially important when you save for the long term, because you want to avoid high fund fees that eat up parts of the return, she says to DN.
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