$10,000 becomes about $12,500 in 10 years. That’s 25% in ten years = LESS THAN INFLATION.

$10,000 becomes about $12,500 in 10 years. That’s 25% in ten years = LESS THAN INFLATION. Inflation was 30% during same period* = Poo

* CPI Data released by the Bureau of Labor Statistics. How to figure annual inflation rate: example divide Jan. 2011 by Jan. 2000 to get ten year rate. 220.223/ 168.8 = 1.306 .. 1862396204033214709371293001. That’s just about 3% a year. So if your investment did not grow in value by at least 3% a year, you did not keep up with inflation and consequently had a negative REAL ROI (adjusted for inflation).

YEAR		JAN		FEB		MAR		APR		MAY		JUN		JUL		AUG		SEP		OCT		NOV		DEC		ANN
2011		220.223		221.309		223.467		224.906		225.964		225.722
2010		216.687		216.741		217.631		218.009		218.178		217.965		218.011		218.312		218.439		218.711		218.803		219.179		218.056
2009		211.143		212.193		212.709		213.24		213.856		215.693		215.351		215.834		215.969		216.177		216.33		215.949		214.537
2008		211.08		211.693		213.528		214.823		216.632		218.815		219.964		219.086		218.783		216.573		212.425		210.228		215.303
2007		202.416		203.499		205.352		206.686		207.949		208.352		208.299		207.917		208.49		208.936		210.177		210.036		207.342
2006		198.3		198.7		199.8		201.5		202.5		202.9		203.5		203.9		202.9		201.8		201.5		201.8		201.6
2005		190.7		191.8		193.3		194.6		194.4		194.5		195.4		196.4		198.8		199.2		197.6		196.8		195.3
2004		185.2		186.2		187.4		188		189.1		189.7		189.4		189.5		189.9		190.9		191		190.3		188.9
2003		181.7		183.1		184.2		183.8		183.5		183.7		183.9		184.6		185.2		185		184.5		184.3		183.96
2002		177.1		177.8		178.8		179.8		179.8		179.9		180.1		180.7		181		181.3		181.3		180.9		179.88
2001		175.1		175.8		176.2		176.9		177.7		178		177.5		177.5		178.3		177.7		177.4		176.7		177.1
2000		168.8		169.8		171.2		171.3		171.5		172.4		172.8		172.8		173.7		174		174.1		174		172.2

So why are they doing so bad? A lot of reasons: general economic malaise, market penetration, learning curve dynamics, … what do you think?