The return rates for IRA investment varies with several factors like Investment type, market scenario and others too.
For investments in IRA stocks return at 7% to 10% rates.
While it is about 3% to 5% for Fixed income investments.
It may soar upto 8% to 12% for Real Estate or higher investments.
Stocks and Bonds may receive return at 5% to 8%.
The 10% IRA return rate is absolutely a good rate especially if it is for long-term plans.
If compounded over years, it helps you to acheive better growth. It is because the compounding is on the previous amount too rather than the original amount you've invested.
If you keep on investing in Stocks or Equity funds then you will surely outgrow the investment amount.
While it is about 6% to 7% and may reach upto 10%. But it depends on other factors too, including the investments on IRA. Market trends, inflation and the fees charged on your returns are some of the key factors deciding the IRA Return rates. Whether you are investing in Aggressive, Conservative or Target date funds the amount varies with it too.