Who Wants to Be a Millionaire?
August 7, 2025 |
June 20, 2025
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For many, reaching their first million sounds like an unattainable dream. But statistics show: there are over 2.8 million millionaires in Germany – and the trend is rising.*
What are the typical paths to a million? Sure, some have inherited wealth, many have worked hard and taken entrepreneurial risks, and perhaps someone has won the lottery or the TV show "Who Wants to Be a Millionaire?" But there have to be other routes to seven figures, right?
Why Starting Early Changes Everything
If you start investing 200 Euro monthly in a broadly diversified ETF at age 18, you could reach a million by retirement age, assuming an annual return of 7 percent.1 For those starting only at 30, it becomes more challenging – you'd need almost 500 Euro monthly. Starting at 40 requires roughly 1,000 Euro per month. Each year of delay just makes the mountain steeper to climb.
What 10,000 Euro Would Have Become in 25 Years
Looking back at different asset classes shows: gold would have increased your money, but you wouldn't have reached a million. Individual stocks paint a mixed picture – the right picks could have made you rich, but for every winner there are dozens of losers. An ETF replicating the MSCI World Index, however, would have more than tripled your money with an average annual return of 5.2% over 25 years2 – without the enormous risks of individual stocks. After all, who really knows which companies will be tomorrow's shooting stars, and which won’t? Sounds not as flashy as Bitcoin's wild ride, but a whole lot easier on the nerves. The different developments can be read from the following chart.3
Consistency Beats Timing
The million-euro goal becomes even more realistic with regular savings: investing 500 Euro monthly in the MSCI World for 30 years would have resulted in wealth of 0.6 million Euro at 7 percent returns.4 You would have only contributed 180,000 Euro yourself – the rest would have been generated by compound interest.
Real-World Success Stories
Take Warren Buffett or Ronald Read – a gas station attendant from Vermont who quietly amassed $8 million.5 Both examples show that you don't need to be a financial expert to build wealth. While Buffett certainly is one, what both men had in common was perseverance, planning, and the willingness to stick with it for decades. A simple playbook which can be summarized as follows:
- Start early – every year of hesitation makes it harder
- Save regularly – even small amounts count
- Diversify broadly – ETFs reduce individual risks
- Stay the course – "Time in the market beats timing the market"
Building wealth isn't just for the lucky few. With a solid plan and the discipline to stick with it, that million-dollar goal moves from pipe dream to achievable target.
All opinions expressed are current assessments and are subject to change without prior notice. Forecasts are based on assumptions, estimates, opinions, and hypothetical models or analyses that may prove to be inaccurate or incorrect. Past performance is not a reliable indicator of future performance. Source: DWS International GmbH; as of July 2025
* UBS, 2024, Global Wealth Report 2024, accessed June 3, 2025
1 The statement is based on a fictitious calculation of a return of 7.0 percent per year on an annual savings rate of 2,400 Euro (twelve 200 Euro savings plans). In the hypothetical example, you would have accumulated a hypothetical fortune of around 1.04 million Euro by retirement age (67).
2 Since the euro did not exist 30 years ago, the returns for gold and the MSCI World refer to the performance denominated in US dollars. Values in DM or euros may differ from this performance. The MSCI World Net Total Return Index, which takes dividend payments into account, was used for the MSCI World.
3 The MSCI World Net Total Return Index, which takes dividend payments into account, was used for the MSCI World.
4 Based on a fictitious savings rate of 500 Euro between May 1995 and May 2025. The example is fictitious.
5 Wikipedia, 2025, Ronald Read, accessed June 3, 2025.
Risk Disclaimer – There are risks associated with investing. The value of your investment may fall or rise. Losses of the capital invested may occur. Past performance, simulations or forecasts are not a reliable indicator of future performance. We do not provide investment, legal and/or tax advice. Should this website contain information on the capital market, financial instruments and/or other topics relevant to investment, this information is intended solely as a general explanation of the investment services provided by companies in our group. Please also read our risk information and terms of use.
Begüm Sapancilar
Contact Person for Xtrackers by DWS
Begüm Sapancilar is the contact person for Xtrackers ETFs by DWS and is responsible for digital customer groups such as direct banks and neobrokers. She previously completed the DWS Graduate Trainee programme. Begüm holds a Master of Science in Business Administration from Goethe University Frankfurt and is a certified ESG Analyst (CESGA®).
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