An electric propulsion system for an aircraft includes a nacelle and an electric machine. The electric machine includes a stator positioned in the nacelle, and a rotor and fan assembly positioned in a primary flow path through the nacelle. The rotor and fan assembly includes a cylindrical fan shroud, a plurality of rotor magnets positioned on an outer surface of the fan shroud, and a fan hub mounted on a central support shaft via one or more bearings. A plurality of fan blades extend between an inner surface of the fan shroud and an outer surface of the fan hub. The rotor magnets may be loaded in compression in a radial direction when the rotor and fan assembly is at rest. The fan blades may be pre-stressed in a radial direction when the rotor and fan assembly is at rest.