Alexandria Ocasio-Cortez, the congressional representative from NY known as AOC, is a political star to many on the left of the American political spectrum. She's been a visible and energetic surrogate for Bernie Sanders in his campaign for the Democratic presidential nomination in 2020. AOC also has an admirer in Steve Bannon, former White House Chief Strategist and 2016 Trump campaign architect.
Technology is changing the way modern geologists locate precious resources and harness energy. With supercomputers capable of processing geophysical data from all over the world, geologists are reconstructing models of the subsoil to identify hydrocarbon deposits. The efficiency of these powerful data processors can scan massive rock formations to help laboratories analyze geological systems. While today's modern geologists still have a compass and hammer to collect samples, petaflops of computing power are changing energy research at lightning speed.
I see advice that I should give up my daily latte, invest the money, and retire a millionaire. Is this good advice?
Answer: No, it's not. That's because in order for this to happen, over the next 40 years, you need to take that $5 a day you save and invest it and earn a 10% after-tax, after-fees return. Hmm.
Question 2: Is that likely?
Answer: No. The stock market has gone up, let's call it 5.6% annually over the past five years, so you gotta get close to doubling. Individual investors have earned about 1.9% over the same period, so less than the stock market has. So is it possible that individual investors could do five times better? I guess it's possible. I guess anything is possible. It's not likely. 10% better? That's a stretch. 20% better? That's huge. Five times better? I wouldn't bet my retirement on it.
Question 3: Anything else bother you about this advice?
Yeah, you know, it's a little simplified, a little bit "give up the small luxuries," and a little bit — since so much of it tends to be aimed at women, and women finishing rich, and retiring rich — it tends to be a bit patronizing. The litmus test of this is if they're not talking about it on CNBC, if Jim Cramer and Mike Santoli aren't discussing it, you know … meh.