Investment Selection

How to Build Wealth Through Smart, Simple Investing

Many people believe that investing is only for the wealthy—but that’s simply not true. In fact, one of the greatest financial tools ever created is available to anyone willing to be consistent, patient, and intentional: compound interest.

The Power of Compound Interest

Consistency, Not Complexity, Builds Wealth

Let’s say you invest $300 a month starting at age 30. If your investments grow at an average of 8% per year—a reasonable expectation in a diversified stock portfolio—you could have around $450,000 by the time you’re 60. Keep going until age 65, and that number could reach over $750,000.

Start earlier, or increase your monthly contributions over time, and the results are even more powerful.

This is compound interest—your money earns money, and that growth earns more growth. It’s how everyday people build real wealth over time. The key isn’t guessing the next hot stock. It’s time, consistency, and the right strategy.

What to Consider When Selecting Investments

Choosing investments can feel overwhelming, but it doesn’t have to be. Here are the most important factors to focus on:

 1. Goals & Time Horizon

Start with your “why.” Are you investing for retirement? A house? Education? Knowing your timeline helps you pick investments with the right level of risk and growth potential.

 2. Risk Tolerance

Some investments are more volatile than others. Stocks offer higher potential returns—but come with more ups and downs. Bonds are more stable but grow more slowly. A mix that fits your comfort level and goals is key.

 3. Costs & Fees

High fees can quietly erode your returns. We focus on low-cost, passively managed investments like index funds and ETFs that help you keep more of what you earn.

 4. Diversification

Don’t put all your eggs in one basket. A well-diversified portfolio spreads your risk across many types of investments, industries, and regions—giving you more consistent results over time.

 5. Tax Efficiency

The right account types (like Roth IRAs, Traditional IRAs, or HSAs) and investment strategies can help you reduce taxes now—or in retirement. Good investing is tax-smart investing.

What We Recommend

At Clegg Investment Services, we generally encourage clients to focus on:

• Broad-market index funds

• Low-cost ETFs

• Target-date funds (for simplicity)

• Tax-advantaged accounts like IRAs and 401(k)s

• A disciplined, long-term mindset

We help you build a simple, repeatable investment plan—so you don’t have to worry about chasing trends, timing the market, or paying high fees to advisors or fund managers.

You Can Build Wealth

You don’t need a finance degree or a six-figure salary. You just need a solid plan, the right tools, and a commitment to stick with it. That’s where we come in.

 Schedule your free consultation to learn how to start investing with confidence—no matter your income level.