Is it possible to get a 10% return on investment?

Can You Actually Aim for a 10% Return on Your Investments?

When you start looking into growing your money, the idea of a 10 percent return often pops up. It sounds like a magic number, but is it realistic in the real world? The short answer is yes, it is possible, but it rarely happens overnight or without taking on a bit more risk.

Historically, broad market indexes like the S&P 500 have hovered around solid long-term averages, sometimes hitting or even exceeding that 10% mark before inflation. However, year-to-year results bounce up and down wildly. Some years you might see massive gains, while others might land in the negative.

If you want to push for higher growth potential, many investors turn toward specific index funds and exchange-traded funds (ETFs) that focus on high-growth sectors or emerging markets. Because these funds target industries expected to expand rapidly—or regions experiencing a boom—they carry a stronger punch during bullish market conditions.

Of course, higher potential reward always comes with a catch. Sector-specific and emerging market funds are usually more volatile than a standard, diversified global fund. Chasing that 10% average means you have to be comfortable watching your portfolio experience bigger swings along the way.