A better objective would be to say “I want to achieve an 8% average annual return on my investment contributions over the next 10 years in order to have a $200,000 portfolio that will be used to purchase a 2nd home.”
When creating an investment strategy, it is important to quantitatively figure out what you are seeking to accomplish. Stating that you simply want to make money or become wealthy is not helpful. A better objective would be to say “I want to achieve an 8% average annual return on my investment contributions over the next 10 years in order to have a $200,000 portfolio that will be used to purchase a 2nd home.” The more specific the objective, the better. And it doesn’t stop there. An investment strategy is useless without a proper understanding of it. There are many different stock investment strategies that apply to different investment objectives, the key is pairing the right strategy with the right objective.