Investors are Banking on TAANG’s 1,000% Investment Growth
The Neighborhood Finance Guy writes about financial literacy topics: Financial Planning and Budgeting, Millennial Money Management, Investment Strategies, M1 Finance Pie tips, and more. The goal is to help you make effective decisions and set S.M.A.R.T. + E.R. goals with your money. The information is free but the struggle is not sold separately. And, if you are into this sort of thing; the blog is PLUTUS nominated, I studied Accounting with a Specialization in Taxation, served in the US Marine Corps, and now work as an Auditor. I’m also big on Traveling and watching Anime.
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Before you invest in the TAANG, here are some investment ground rules…
If you need financial or investment assistance, I would highly recommend that you refer to a fee-only financial advisor who has a fiduciary responsibility to their clients.
Fee-only investment advisors do not earn commissions for placing trades or selling your investments as their own products or insurance. If they’re managing your portfolio, these advisors are required by law to serve in a fiduciary capacity.
This means they must always act in your best interests. If a situation arises that may present a conflict of interest, they’re required to disclose this conflict to you.
Since investments can trigger taxes, you might want to refer to a Certified public accountant. And if you don’t have a lot of money, just start with a financial plan. Translation, you need a team or a firm understanding before you jump head first into the kiddie side of the investment pool.
No need to play with your wealth, it’s not a game.
Too many Americans are retiring broke.
And way too many are day trading to their own taxable detriment. It’s one thing to lose money, it takes a particular set of skills to do that dramatically by 9:45 AM on any given day. Those money gurus made sure to sell you the course with no guaranteed real returns.
They just want you to review if everything goes well.
Buying Too High and Selling Too Low
Avoid the investment losers’ strategy. Take the advice from Warren Buffet, “Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.“
There is an order to all things even if you are getting out of bed late. Make sure you take your time in addressing your Mental, Physical, and even Spiritual wealth. They can go a long way to helping you attain fulfillment and financial security. Without it, most people end up panicking and investing in reverse.
Buying way too High in the hype, and Selling way too low in the Panic. Investing is not going anywhere. Take your time and set up a good foundation first.
So What’s So Promising about this TAANG Portfolio?
Telsa, Amazon, Apple, Nvidia, and Google make up the TAANG mix. The world hinges on their every move nowadays. They hold a seismic share of most investment portfolios and will dominate going forward.
As the pandemic drags on and our lives become permanently altered, spending has become mobile. We are stuck in the meta world 1.0 and are stepping into a new frame of laziness. These market leaders are part of the next wave of the investment apocalypse that will increase the wealth divide.
The world is charging forward in 2022.
Goldman said Tuesday, it expects the S&P 500 to rise 9% to 5,100 by the end of 2022. If achieved, that would mark a 10% total return including dividends. Although the fastest pace of recovery now lies behind us, they expect strong global growth in the coming quarters. The real winners will be continued medical improvements, a consumption boost from pent-up saving and an increase in debt consumption, and business inventory rebuilding.
We will likely hit a new equilibrium in mid to late 2023.
Building the TAANG Portfolio, brick by brick
As always, I’ll recreate a portfolio based on what was discussed in the news reports using M1 Finance’s create a pie feature.
From that point, we get to play with what I think a good mix looks like, and voila!
This pie is a snapshot as of early November 15, 2021 (see Graphics #3).
Keep in mind that the one-year return for the S&P was 29.11%.
Either way, this is still better than 0.01% in a savings account getting shredded by inflation north of +4% this year.
So What’s the Breakdown of this TAANG’s Portfolio?
The TAANG (see table #1) is a high-growth mix. The goal of this mix is to the market leaders or pioneers. Everyone’s portfolio worth its metal has at least one of these holdings.
Table 1. New TAANG Holdings and 1-yr Averages
Company | Market Cap | Dividend Yield (if Any) | *Market Growth For the Last 12-Months | *Current Price Per Share | Avg Target Price | *M1 Slice Weight |
Tesla $TSLA | 1.0T | 0.00% | 152.98% | $1,054.73 | $820.04 | 30% |
Amazon $AMZN | 1.8T | 0.00% | 13.34% | $3,540.70 | $4,158.21 | 22% |
Alphabet $GOOG | 2.0T | 0.00% | 68.13% | $2,981.52 | 18% | |
Apple inc. $AAPL | 2.5T | 0.58% | 26.55% | $151.00 | $169.65 | 185% |
Nvidia $NVDA | 757.3B | 0.05% | 126.04% | $302.03 | $261.08 | 15% |
Avg | 0.094% | 83.09% |
This TAANG Mix Hit over +1,000% in the last 5 Years!
After plugging in the numbers in M1, we can see this Dream Team portfolio has been making waves. (see graphics #3). Over 62.31% rate of return on your investment for the last 12 months and over 600% for the last 5 years. That’s an impossible 120% average.
I wish I picked this Dream Team in 2017. The opportunity to invest requires that you set SMART+ER goals and dollar cost averages your way into success.
If you want to follow this pie, click here. It’s a link to my M1 pie. This is yet another reason why I love investing with M1 since we can easily share these portfolios with each other.
If you want the $30-for-30 referral, click here.
TAANG Holdings and How they are Tracking as of 11.16.21
- Tesla’s $TSLA mission is to accelerate the world’s transition to sustainable energy. Since its founding in 2003, Tesla has broken new barriers in developing high-performance automobiles that are not only the world’s best and highest-selling pure electric vehicles—with long range and absolutely no tailpipe emissions—but also the safest, highest-rated cars on the road in the world. 5-yr growth 2,657.22%
- Amazon $AMZN is guided by four principles: customer obsession rather than competitor focus, passion for invention, commitment to operational excellence, and long-term thinking. Customer reviews, 1-Click shopping, personalized recommendations, Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing, Kindle, Fire tablets, Fire TV, Amazon Echo, and Alexa are some of the products and services pioneered by Amazon. 5-yr growth 377.06%
- Google $GOOGL is an American multinational technology company that specializes in Internet-related services and products, which include online advertising technologies, a search engine, cloud computing, software, and hardware. 5-yr growth 293.91%
- Apple Inc. $AAPL is an American multinational technology company that designs, develops, and sells consumer electronics, computer software, and online services. It is considered one of the Big Five companies in the U.S. information technology industry, along with Amazon, Google, Microsoft, and Facebook. 5-yr growth 495.12%
- NVIDIA $NVDA is the pioneer of GPU-accelerated computing. The Company specializes in products and platforms for the large, growing markets of gaming, professional visualization, data center, and automotive. Its creations are loved by the most demanding computer users in the world – gamers, designers, and scientists. And its work is at the center of the most consequential mega-trends in technology. 5-yr growth 1,313.74%
Final Thoughts on the new TAANG Portfolio?
As price inflation and income stagnation hit record highs, investing your money is the only way to go. The bottom 70% of the US is supporting the economy through spending. The top 30% are injecting money through investment and getting better returns.
One segment is losing and the other segment is gaining speed.
Turns out 2040 will be way more expensive than 2020. In order for the average person to keep their current $60,000 annual expenses lifestyle, they will have to up the levels to about $100,000. If you are feeling the pinch now, just know it will not be easier later.
Invest to hit your millennial millionaire mark, it’s less heavy lifting than you think. I dished out my Million+retirement strategies all the time. Feel free to read up on it.
Other great write-ups include:
- How to Build a 5-yr Portfolio w/over 500% growth potential,
- US Congress members invest their money to make millions, and even
- How to FIRE up your post-presidential election investment portfolio.