{"id":603,"date":"2018-09-09T13:42:26","date_gmt":"2018-09-09T11:42:26","guid":{"rendered":"https:\/\/jaserodley.com\/?p=603"},"modified":"2023-04-17T15:16:59","modified_gmt":"2023-04-17T13:16:59","slug":"investing-in-websites","status":"publish","type":"post","link":"https:\/\/jaserodley.com\/investing-in-websites\/","title":{"rendered":"Investing in Websites: The 40 Percent Rule"},"content":{"rendered":"\n
Back in 2011, a friend spoke of these magical financial vehicles called “index funds”. At this point, I’d already build and sold a website that was sold to some website investors.<\/p>\n\n\n\n
What was news to me at the time sparked immediate deep research and eventual action.<\/p>\n\n\n\n
Index funds have seen massive traction in the “FIRE” or Financial Independence, Retire Early community. And while there are many funds that track many indexes, the most common recommendations made tend<\/em> to track the following indexes:<\/p>\n\n\n\n Whether right or wrong, the general consensus from this community is that for every $100 invested today, it will pay you back $4 every year, for at least 33 years.<\/p>\n\n\n\n This is known as the 4 percent rule, and is the “safe withdrawal rate” that finance bloggers have been rehashing over and over.<\/p>\n\n\n\n In this post, I’ll walk you through my issues with the four percent rule, and why I think investing in websites for profit might be a better option, where returns of 40% and more are not uncommon.<\/p>\n\n\n\n\n\n\n\n