Part 2/9:
Bob initially invested $5 a day into the Vanguard S&P 500 ETF (VO), which encompasses the 500 largest companies in the U.S. According to Bob, the principle of this investment philosophy lies in the long game, believing that patience will yield results over time rather than expecting immediate returns.
When he first assessed his portfolio in September 2022—an abysmal year for stock markets—his investment accounted for 3.65 shares of VO with a total investment of $1,395. However, the total value of his investment was only $1,198, representing a loss of $195. Many might have considered this venture futile at that stage. Yet, Bob emphasized the importance of a longer investment horizon.