How much will your investment grow?
Compound interest is often referred to as the "eighth wonder of the world" because of its powerful ability to accelerate wealth growth. It works by earning interest on both the initial amount of money and the interest that has been accumulated from previous periods. For example, if you invest $1,000 at an annual interest rate of 5%, the first year earns you $50 in interest, making your total $1,050. The following year, you earn interest on the new total, which results in $1,102.50, and so on. Over time, this compounding effect can significantly increase your investment returns, making it a fundamental concept in personal finance and a critical tool for building long-term wealth. Understanding and utilizing compound interest can help you maximize your savings and investment strategies effectively.
Compound Interest
It's not about trying to time the market, it's about total time IN the market.
Disclaimer: The information provided by our tools and calculators is for illustrative purposes only and is not guaranteed for accuracy or completeness. We recommend using these resources as a preliminary guide and supplementing them with personalized advice from a qualified financial advisor. The data alone should not be construed as financial advice or used as the sole basis for making financial decisions. Always consult with a professional to consider your unique financial circumstances and needs.
A modern 360 degree approach to wealth management.
-
Fiduciary Registered Investment Advisory
-
Fee-Only: We win when you win!
-
Experienced Team dedicated to high-touch service
-
Financial Planning
-
Active Investment Management
-
Estate Planning
-
Tax Strategy
-
Business Consulting
-
Exclusive Client Events
