Can you get rich on the stock market?

Every investor dreams of becoming rich on the stock market! But is that really possible?

According to wealth research, the only really reasonably reliable way to get rich is entrepreneurial activity.
Wealth research probably only considers the common average return of 8% per year like in the S&P 500 to come to such a conclusion, but this is only one of many possible ways of investing.

For example, a German graduate economist managed to go from 100.000 € to 500.000 € in 3 years with a strongly focused investing portfolio, which could be certified with account statements.

How did he achieve that? His main strategy was to focus on stocks that had gained at least 40% in the last year and that were no more than 10% away from their 52-week highs.
The simple logic behind this? A multibagger stock constantly marks new 52-week highs over weeks and months. If you keep an eye on 52-week highs, you won’t miss any multibagger stocks.

Is his success on the stock market a one-off? Not at all. A fund manager who started in 2014 racked up an average annual performance of 33.9% with an overall performance of more than 600%.
Just like the economist, he focuses on a portfolio characterized by relative strength compared to the overall market. As an additional hedge, he has added a small short ETF position on an equity index to his portfolio of about 80 stocks, including stocks such as Plug Power, PayPal, Apple & Microsoft, to protect his porfolio in turbulent market periods.

Note that neither of them needed leveraged products to achieve this success. The fund would have turned €100,000 into a whopping €700,000 in seven years, virtually only investing in stocks that were in a stable, upward trend channel.

So can you get rich on the stock market? To put it briefly: yes, with the right strategy, absolutely.

Important final note: My opinion does not represent any call to action. It is not an invitation to buy or sell securities.