I am 27 and recently started retirement saving. I found 3 mutual funds one was a FTSE 100 index (acc), another was S&P 500 (acc), and the Rathbone Global opportunities fund (acc).

Put 1k in each and was going to top them up by £50 each a month so £150 a month private savings.

this is all done via a stocks and shares ISA.

I did this following advice from people I trust, and the potential results seem to be to good to be true. While they all have certainly had negative years,
All of these funds have performed at close to 10% average return over a 5+year period, in fact when you look longer at the market index's over 20-30 years it is more like 12%+

this means that if you invest £100 a month in one fund for a 40 year period with a average long term return of 10% that fund will be worth aprox 1.2 million within 30 years.

I have read a few finance books (money makeover - dave ramsey, I can make you rich, and rich dad poor dad) and the general consensus about investing in good, safe growth stoke mutual funds all seems to be the same.

If this is true, then we are we not all taught this in school lol, £100 a month for 40 years and you can potentially retire with a million in the bank.


here is Dave Ramsey explaining the Maths a lot better than me:
https://www.youtube.com/watch?v=7wju...DaveRamseyShow

am I being taken for a mug? or is this good advice I am following?