Martin Lewis reveals just how much money you could be making in the stock market

Martin Lewis shows how £1,000 invested in 2016 could have grown to £3,790 now. But Zaven Boyrazian shows how we could have done even better, reaching £6,020!

Posted by Zaven Boyrazian

Published 13 January

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When it comes to personal finances, Martin Lewis is often the go-to expert for many Britons. And it isn’t hard to see why. With a long career in financial journalism, continually championing consumers with accessible advice and insights, he’s gained enormous influence and trust backed by genuine expertise.

Historically, he’s typically stayed within the realms of personal finance. But recently, he introduced British savers to the world of investing and revealed just how much money someone could have made in the stock market since 2016.

The power of investing

Lewis started by asking a simple question: If someone invested £1,000 10 years ago across the top UK savings accounts and various stock market indexes, how much money would they have today?

Unsurprisingly, the stock market indexes, despite all the volatility of the pandemic and recent inflation, vastly outperformed.

Investment	Investment Value After 10 Years	10-Year Total Return	Annualised Total Return
Top UK Savings Accounts	£1,270	+27%	+2.42%
FTSE 250	£1,640	+64%	+5.07%
MSCI All Country World Index	£2,980	+198%	+11.54%
S&P 500	£3,790	+279%	+14.25%

His message was clear. While the stock market can be volatile, over the long run, it can work wonders in protecting and building wealth.

Targeting bigger returns

Stock picking is a tricky and time-consuming task. But for those willing to put in the effort and stay disciplined, some phenomenal gains can be unlocked.

Remember, when you retire, cash is king. One way of generating this cash is to have a portfolio of shares that pay a dividend. A gently increasing dividend is preferable.

Your Snowball should reflect how many years you have before you want to spend your hard earned and your risk tolerance.