How You Can 33x Your Wealth AFTER Retirement💰

Did you know that legendary investor Warren Buffett actually made 97 percent of his wealth after the age of 65? In the next 5 minutes, we’re going to break down one of his investment secrets so anyone can retire a millionaire.

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Today’s Rundown

• Don’t Bet Against The Oracle of Omaha 🎲 (Story)

• S&P + Compound Interest 📈 (Insight)

• Take the “Boring Millionaire” Challenge 🎓 (Action)

Don’t Bet Against The Oracle of Omaha 🎲

(This section contains a business story that you need to know)

“I’m willing to bet anyone $500,000 that over ten years, an S&P index fund will outperform any hedge fund or collection of hedge funds that any of you can come up with. Any takers?” Silence befell a room of twenty thousand people.

“Come on, no takers?” pressed the Oracle. More silence. Then, all at once, the convention center went wild — the audience yelling, screaming, hootering, hollering, and chanting at the top of their lungs in reverence to their beloved spiritual leader, the famed Oracle of Omaha. It was a moment for the ages.

The challenge was announced on May 6, 2006, at Berkshire Hathaway’s annual shareholder conference in — you guessed it — Omaha, Nebraska. It was there that Warren Buffett put half a million on the table in a direct challenge to the very top of the food chain of the Wall Street Fee Machine Complex: hedge fund managers. Simply put, the Oracle had had enough…

While the bet was simple, the stakes were as serious as a heart attack. Buffett wagered that over the next ten years, a simple, low-cost fund that tracked the performance of the S&P 500 would crush all the fancy, exotic strategies touted by hedge funds. That was it. It was straight, simple, and right to the point.

Now just to be clear, Buffett is not a betting man by nature. In other words, you’re not going to find the Oracle rolling up to a casino with a million bucks in his pocket and putting it all on black or playing for hours on end to try to wear down the house when he knows that the deck has been stacked against him.

After all, that’s not how you remain one of the richest men in the world, now is it? No, you retain that distinction in one of two ways:

1. Not betting at all

2. Betting only on sure things

In Buffett’s case, it was the latter, and for very good reason: His bet was backed by over one hundred years of math and fifty years of personal investment experience. Buffett knows that less than 10 percent of active large-cap managers have outperformed the S&P 500 in the last fifteen years.

As for the ones who do beat the market, their funds have been closed to new investors for years and likely won’t reopen anytime soon. Plus, when a new industry rock star emerges, they quickly close their funds to new investors and also do not reopen unless their performance dips. But there is another way…

Key takeaway: One of the greatest investors in recent history believes everyone has access to a proven wealth strategy: investing directly into the S&P 500, which has compounded 10 percent per year for 100 years.

The S&P + Compound Interest 📈

(This section teaches business insights to implement into your life)

👉 INSIGHT: Most experts can’t beat 10 percent annual returns that the S&P 500 has created for the last century.

Why are they all so obsessed with trying to beat the market? The answer is simple: if a financial “expert” can’t beat the market on a consistent basis, then why on God’s earth would you let them manage your money and why would you pay all their exorbitant fees? You wouldn’t!

Here’s what you can do instead, using Warren Buffet as an example, which was confirmed in Morgan Housel’s fascinating book, The Psychology of Money. Buffett has managed to achieve an average return of 22 percent across his career, but this is partially because it’s been his singular focus for 40 years!

So you combine knowledge + experience + compound interest and you get this insane stat: “More than 97% of Warren Buffett's wealth has been accumulated after the age of 65.” We’re talking about $117 of his $120.5 Billion hit AFTER the time most people throw in the towel, throw up their feet, and only think about investing in a La-Z-Boy.

But here’s the good news: for the average investor, you don’t need to start with a lot of money to end with a lot of money.

Instead of having investors hand their money over as fees and missed opportunities, Buffett advises for the majority of investors to be passive investors who simply invest in the S&P 500, but not just any index fund, the mutual fund that met all of the criteria below:

1. The fund must accurately track the S&P 500 (yes, there are poorly constructed funds that do a shit job tracking the index).

2. The fund must have no “load” of any type (a load is a surreptitious way of saying the broker gets a sales commission — no thanks).

3. The fund must have a very low management fee (since the index fund isn’t being actively managed, there’s no reason to pay an “expert”).

4. It must allow for the automatic reinvestment of dividends (in this context, mutual funds are the preferred option).

At the time, every large mutual fund provider was offering a low-cost index fund that met all four criteria, and they would have all jumped at the chance to be the Oracle’s contender. In the end, Buffett chose Vanguard’s 500 Index Fund Admiral Shares. His choice surprised no one.

Take the “Retire Rich” Challenge 🎓

(This section provides actionable tactics you can apply right away)

Here’s the easiest way in the world to you can retire a millionaire... There’s lots of compound interest calculators online, so test one out and run your own numbers, but here’s the basic idea in four simple steps:

1. Take a small investment and invest in an Index fund like S&P 500

2. Make monthly contributions and re-invest dividends earned

3. Be f**king patient

4. Watch your investment turn into a multi-million dollar nest egg over time

Don’t sleep on this. Seriously, if you don’t have this foundation in place, stop reading this email right now and start running your numbers. It’s time to take wealth seriously.

Wolfy Memes of the Week 🤣 

BITE-SIZED READS FOR THE ROAD 📚

[Read] Learn Jordan’s insider playbook for making a fortune on Wall Street in his new book, The Wolf of Investing.

[Watch] “Wall Street is evil,” Jordan tells Tucker Carlson in an interview, “but here’s why we need it…”

[Tool] Determine how much your money can grow using the power of compound interest with this free tool.

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Publisher: Jordan Belfort

Editors in Chief: Brock Swinson and Davis Richardson

DISCLAIMER: None of this is financial advice. This newsletter is strictly for educational purposes and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.