The Road to $200,000 in Fidelity Portfolio

Author

Decade Investor
April 26, 2024

If you have been following my journey, you know I recently transferred my entire M1 Finance portfolio to Fidelity. Now I am on the road to $200,000 in Fidelity. This is how I plan to get there.

I wanted to keep my taxable investing simple so I transferred all my assets into Fidelity from M1. This account now sits at a value of $169,507. My goal is to get this account to $200,000 before I turn 27 (which is in just under a year). The good news is, I don’t have to do much work to get there. Let me explain…

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Currently I am investing $300 every week into this account. That means I am contributing $15,600 over the course of the year.

Quick math shows me that $15,600 + $169,507 is $185,107… which is a good ways away from $200,000. However, I may be able to get to $200,000 in a year.

I always talk about that 8th wonder of the world… compound interest. Well, this is where compounding gets more helpful as you get more money invested. This is why every $100,000 gets a little bit easier, because of compounding.

With my contributions, this account after one year will be valued at $185,107. BUT if the portfolio as a whole gets an 8% increase from the market, my account value will be at $200,000.

So while I am only contributing $15,600, because of potential market returns, the other ~$15,000 will be from the growth of this portfolio. If the market returns more, great! If the market returns less, that is fine too! I will keep adding no matter what.

Just to show this even more, to go from $200,000 to $300,000, assuming an 8% rate of return, it will take me ~3 years. That means I will be contributing ($15,600 × 3) = $46,800 but due to market returns, this portfolio could be at $300,000. This is the power of compounding in real time.

This is my plan to get this portfolio to $200,000 in just under a year. It is a combination of investing every single week + the market potentially returning the average. That is all. Nothing crazy, nothing high risk. Just brick by brick.

Real quick, my podcast called The Decade Investor Podcast releases new episodes every week. This week I dropped three new episodes:

  1. 61: The Path To Maxing Out Your Roth IRA In 2024

  2. 62: Should You Take Your 401(k) Match?

  3. 63: Is investing $200 per month worth it?

You can listen to them on any podcast playing app here: https://thedecadeinvestorpodcast.buzzsprout.com/share

The goal of my newsletter, my podcast, my social media is to help educate you on money & make sure you set yourself + your future generations up for success with money!

(x)Tweet of the Week:

The power of compounding + consistent contributions happening real time in my overall net worth!

Thank you so much for reading & I will see you next week! Until then, keep buying assets.🙂 

- Decade Investor

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