E: 12/04/2008 Win £7,200 in the Fidelity Quiz ALL DONE WE THINK

catz747

Do we have to work the last one out or ask an investment banker? :eek:

toniq

so u have to work out £1000 invested in all shares index in 2003 would mature in 2008 x
then take out the best days? x im lost i dont think my head knows that type of stuff x

catz747

Me either, where's the investment forum ...... goes for a sneak ........

:eek::eek:

cake21

For a £1,000 investment in the FTSE All Share Index, how much might you have lost if you missed the best 20 days by leaving the market between Feb 2003 and Feb 2008?<table border="0" width="405"><tbody><tr><td class="promotext"><input onclick="CheckQ14a();" value="14a" name="q14" type="radio">a) £1298</td><td class="promotext"><input onclick="CheckQ14b();" value="14b" name="q14" type="radio">b) £1722</td><td class="promotext"><input onclick="CheckQ14c();" value="14c" name="q14" type="radio">c) £2,000</td></tr></tbody></table>I think the answer to this one might be connected to slide 16 of the powerpoint presentation here
but I can't work it out! Does this help anyone?

toniq

got it of sorts
http://www.headlinemoney.co.uk/Company/Media/EdwardJones/MR_EDWARDJONES_150607.pdf
no ignore wrong years i was thinking it was worked out on here at £1000 so we needed to divide down but wrong years

catz747

More seriously - and, I hope, usefully - there is evidence to suggest that time, not timing, offers the most reliable route to successful stock market investment. For example, if you had invested £1,000 in the FTSE All Share 15 years ago - and held on through all the ups and downs - it would be worth about £2,460 today; that's a return of 146pc. However, according to the number-crunchers at Fidelity, if you had missed just the 10 best days in the market during those 15 years - perhaps by switching into cash - your total return would collapse to 59pc.
If you missed the 20 best days - that is, just over one day per year over the past 15 years - then your £1,000 would end the period worth just £1,150. That's about £1,300 less than you could have made by hanging on and hoping for the best. Worse still, if you missed just over three of the best days each year - or the 40 best days in total - you would have lost a quarter of your money, turning £1,000 into £674.

catz747

I think the answer is £1298

toniq

Agree catz !!!!! xxxxxx

cake21

assuming the average annual loss is 5.3% - being 10.9% fully invested less 5.6% best 20 days missed for £1,000 missed, this compounds over 5 years (from slide 16 on here ) to £1,298

catz747 you beat me to it :rotfl:

catz747

Right! Thanks Everyone! Lets hope we can all get logged in ok