*Web Novel chapter below*
How to Invest in Index Funds: A Beginner’s Guide to Effortless Wealth-Building
Investing can feel like a maze of confusing options and risky bets—especially if you’re just starting out. But there’s one strategy that cuts through the noise with its simplicity, low cost, and proven results: index fund investing. If you’re searching for a beginner-friendly way to grow your wealth over time, index funds are your golden ticket. In this guide, we’ll explain what index funds are, why they’re perfect for beginners, and how to get started today—complete with trusted platforms where you can sign up. By the end, you’ll have a clear, actionable path to launch your investment journey.
What Are Index Funds?
Imagine owning a small piece of the entire stock market without having to pick individual stocks. That’s the magic of an index fund. It’s a type of mutual fund or exchange-traded fund (ETF) that mirrors a specific market index, like the S&P 500 or the Dow Jones Industrial Average. Instead of betting on one company, you’re investing in hundreds—like Apple, Microsoft, and Amazon—all at once. It’s less about chasing winners and more about riding the market’s natural growth.
Why Index Funds Are Perfect for Beginners
Index funds are the go-to choice for new investors, and here’s why:
- Instant Diversification: One fund spreads your money across hundreds of companies, so a single stock’s stumble won’t derail your progress.
- Low Fees: No need for expensive stock-picking experts—index funds keep costs down.
- Set It and Forget It: No market expertise needed. Just invest and let time do the heavy lifting.
- Proven Track Record: Studies show index funds often outperform actively managed funds, making them a reliable path to long-term wealth.
How to Start Investing in Index Funds: A 3-Step Guide
Ready to take control of your financial future? Follow these simple steps to begin your index fund journey.
Step 1: Choose a Brokerage Account
A brokerage account is your gateway to buying index funds. Think of it as your investment dashboard. Here are three top platforms perfect for beginners:
- Vanguard: The pioneer of low-cost index funds. Sign up here.
- Fidelity: Offers zero-fee index funds with no minimums. Get started.
- Charles Schwab: Known for stellar customer support. Open an account.
Pro Tip: Look for platforms with low fees, a variety of funds, and an easy-to-use interface. Most let you start with as little as $1!
Step 2: Pick the Right Index Fund
Once your account is set up, choose a fund that matches your goals:
- S&P 500 Index Funds: Tracks the 500 largest U.S. companies (e.g., Vanguard’s VOO). Perfect for broad market exposure.
- Total Stock Market Index Funds: Includes small, mid, and large-cap stocks (e.g., Schwab’s SWTSX). Maximum diversification.
- International Index Funds: Invests globally (e.g., Fidelity’s FZILX). Adds worldwide balance.
Newbie Hack: Start with an S&P 500 or total market fund for simplicity and growth potential.
Step 3: Make Your First Investment
Now, it’s time to put your money to work:
- Fund Your Account: Transfer as little as $1–$100 to get started.
- Buy Your Fund: Search for your chosen fund (e.g., VOO at Vanguard) and hit “buy.”
- Automate It: Set up automatic investments—like $50 a month—to grow your wealth effortlessly.
Quick Links:
Why Index Funds Are a Smart Choice
- Lower Risk: Diversification cushions you from single-stock disasters.
- Tax-Friendly: Fewer trades mean fewer taxable events.
- Long-Term Gains: With the market’s historical 7–10% annual return, index funds are a retirement-building powerhouse.
Risks to Keep in Mind
No investment is bulletproof. Here’s what to watch:
- Market Swings: When the market dips, so does your fund. But history shows it bounces back.
- No Big Wins: You won’t beat the market—but for most, matching it is a win.
Tips for Index Fund Success
- Invest Regularly: Use dollar-cost averaging to smooth out market highs and lows.
- Diversify Further: Add international or bond funds as your portfolio grows.
- Stay the Course: Don’t panic-sell during downturns. Long-term investors win by holding steady.
Real-Life Success Story: Sarah’s $240,000 Nest Egg
Meet Sarah, a 30-year-old teacher who invested $200 a month in an S&P 500 index fund. After 30 years, her $72,000 in contributions ballooned to over $240,000—thanks to the market’s average 7% return. No stock-picking, no stress—just consistent investing through platforms like Fidelity or Vanguard.
Start Your Investment Journey Today
Index funds are your beginner-friendly path to low-cost, reliable wealth-building. Sign up with a trusted brokerage like Vanguard, Fidelity, or Charles Schwab, pick a fund, and start with as little as $50 a month. The sooner you begin, the more time your money has to grow. Take that first step now—your future self will thank you!
The Leisurely Established Advertising Agency in the Other World Handles Nobles, Adventurers, and Merchant Guilds with Ease
After confirming that they could transfer, the two decided to check the effects of the magic stone.
After taking a picture of the current magic stone, they hung the pendant around their necks and chanted “transfer.” The magic stone emitted a faint glow, and just like before, Taichi’s figure disappeared.
A few minutes later, Taichi returned, still full of energy and smiling.
“Yeah, I don’t feel tired at all. This is convenient.”
“So it was the magic stone after all. How about the color change?”
They compared the image taken earlier with its state after one round trip.
“Hmm, it seems a bit lighter? The brightness might have dropped slightly.”
“Yes. Since we don’t know what color it will be when the magic power runs out, it’s hard to say for sure, but it seems like it can still be used.”
“For now, the next trip will be the last planned one, so there should be no problem.”
Having gained a preliminary understanding of the effects and remaining capacity of the magic stone, they began discussing future plans again.
The basic plan remained as initially intended: to move everything they could carry. They reconfirmed key points and finalized their actions upon arrival at the transfer destination.
“What about the luggage? How much do you intend to bring, especially books?”
“Well, bringing everything would be a bit troublesome… Maps are a must, and maybe we should take unreadable books too. There might be people ahead who can read them.”
“Right. If they contain various things about magic, they could be useful once we can read them.”
“They don’t seem like ordinary books, so even if they become unnecessary, they might still be sellable.”
“That’s an interesting perspective… Then, for the numerous storybooks, shall we pick only those with good bindings?”
“That sounds reasonable. Ah, we might also take a few picture books.
If we can’t communicate through language, pictures might help explain something, and they could be useful when talking to children.”
“Eh, children? What do you mean…?”
Hearing the word “children,” Fumino tilted her head in confusion.
“Oh, not in a weird way. Look, we hardly know anything about this place, right? If we talk to adults and slip up, we might get suspected and not get the truth. But with children, even if they know less, they’re unlikely to lie, so it’d be good to consider asking kids if we’re stuck.”
“I see… Then, let’s pick some nice picture books. What about the research-related summoning books?”
“Just a few dense ones, I think.”
“Why?”
“Of course, there are quite a few, but we don’t know how ‘summoning’ is treated in this world, right? He’s researching it alone in such a deserted place; it might be taboo to meddle. Given the uncertainty, it’s better not to have anything that might raise suspicion if found, don’t you think?”
“…You’re right. With just a few, we can mix them with other magic books as an excuse. Understood. And what about non-books? We don’t have much else, but the water jug might be a concern?”
“That thing produces water, so it would be great to bring it for our lifeline, if we can manage it…”
“Yes. It seems movable when empty, but it refills itself even when emptied…”
“Well, let’s try hard. If it doesn’t work, we’ll give up. We should also take bedding. I don’t think we’ll find hotel-like places easily.”
“No objections. To summarize…”
After discussion, they decided to take maps, all unreadable books, nicely bound stories and picture books, and a few summoning research books.
This amounted to dozens of books, making it quite a substantial load.
“And then, what about our actions at the transfer destination?”
“It’d be wise to plan somewhat here. From our previous trip, we confirmed that the transfer destination is at the far end of a corridor, with only an ascending staircase on the opposite side. Probably underground somewhere. Also, it’s quite dim, though not pitch black.”
“It doesn’t seem immediately dangerous, does it?”
“No certainty, though.”
“With nothing but the stairs, naturally, we’ll have to ascend and investigate. Likely a building, so we’ll search inside first, then outside. But, first, where is this building, and what kind is it?”
“The action pattern and difficulty will vary depending on whether it’s in the wilderness or in a town-like area.”
“If it’s within a town, that’s fine, but if it’s in the wilderness, we’ll need to check for hostile creatures and search for a nearby town to reach.”
“That would make things pretty tough. Considering supply runs, even if it’s wilderness, it’s likely near a town.”
“Let’s assume it’s a town. In that case, the first thing to be careful about is avoiding drawing attention, right?”
“We only know about this world from that old man… We don’t know how our appearance will be perceived, and someone else will be seen coming out of his house. We might be mistaken for thieves, so we want to avoid suspicion as much as possible.”
“In that case, until we understand the situation, it’s best to avoid moving during the night for a while. Though fewer people might be around, being spotted could lead to more suspicion… Assuming there’s day and night like on Earth.”
“Reducing the possibility of suspicion is always better. So, first, we should confirm the locals’ appearances. If they’re human and similar to us, it opens up many possibilities.”
“Right. Language seems manageable, so checking appearances, including clothing, is the top priority. Next, we’ll check the surroundings of the building. Security, visibility, and the scenario it’s set in will affect how usable it is as a base…”
“Being conspicuous coming in and out is risky, and we want to avoid trouble. After confirming these aspects, we’ll get a sense of the town’s scale, civilization level, and overall security.”
“Once we confirm all that, we can start communicating with the residents.”
“That’s when the real work begins. Some things can be understood just by looking, but most can’t.”
Deciding to minimize risks and establish communication with residents without arousing suspicion, they began preparing their belongings.
First, they organized and transported the numerous books, followed by all the food and bags of coins, bedding sets, the summoner’s robe, and the crystal-embedded staff into the magic array room.
Avoiding the magic array, they placed the items on the floor, making the room quite cramped.
“This has become quite a lot.”
“Taking all the valuable stuff makes us look like thieves, huh?”
“Don’t say unpleasant things.”
Smiling wryly, they shrugged their shoulders together and returned to the living space.
“Alright, now for this big item.”
Taichi pointed to the mysterious water jug that continuously produced water.
“The internal diameter is about 50 cm, and the water depth is roughly 70 cm?”
Using his thumb and forefinger as a makeshift measuring tool, he estimated the size of the water jug.
“At that size… it weighs about 140 kg just with water.”
“Adding the jug itself, it’s probably over 150 kg.
Ideally, we’d pour out the water and just take the jug, but flooding the place isn’t ideal, and there’s no guarantee the water will replenish after being emptied.”
“If the water stops flowing, that defeats the purpose… Maybe draining half the water is the limit?”
“True. The rate of water replenishment isn’t that fast, but it should lighten the load considerably. Still, it’ll weigh as much as an adult man.”
“We have to try anyway.”
“Alright. Let’s reduce the water first. Hmm, shall we scoop it out with a pot and mug and dump it in the toilet?”
“Let’s do it step by step.”
For the next 30 minutes, they diligently scooped and discarded water until the jug was about half full, though both were completely out of breath.
“Pant… this was tougher… than expected…”
“So… true… I’ve lost count of how many trips we made…”
However, since the water gradually increased over time, they couldn’t rest long. After catching their breath briefly, they started moving the water jug.
“Sorry, Fumino-san, but can you help? It’s impossible for one person.”
“Of course. I’ll take this side.”
“Thanks. But don’t overexert yourself. Oh, keep your back straight and use your knees to lift to avoid hurting your back.”
Inserting their hands underneath the jug from both sides, they lifted it together.
“It’s heavy… but manageable? Are you okay, Fumino-san?”
“Y-yeah, somehow. But not for long…”
“Alright, let’s move it quickly.”
Coordinating their movements, they exited the room. While carrying it, the water level gradually rose, increasing the weight pressing down on their hands. Finally, they reached the magic array room after descending the stairs.
“Guh, let’s move this directly to the magic array. Once we put it down, we won’t be able to move it again.”
“O-okay.”
Exerting their last strength, they somehow got the water jug onto the magic array when finally, Fumino’s arms reached their limit.
“I-I can’t… anymore…”
“!”
Just as the jug slipped from Fumino’s hands, Taichi dropped his waist. With a dull thud, the water jug landed heavily on the floor.
The impact caused the water surface, already at about 70%, to ripple, splashing water droplets around.
“Fumino-san, are you alright?”
Hurriedly, Taichi ran over to Fumino, who was on the other side of the water jug.
“S-sorry, I let go…”
“No, you helped a lot. Did you hurt your hands or anything?”
“No, I let go in time, so no injuries.”
“Thank goodness. Getting injured over something like this wouldn’t be worth it. And it seems the water jug is fine too.”
“I’m glad it worked out… But I never want to do this again.”
“Absolutely…”
Exhausted, Fumino sat down on the floor while Taichi lay sprawled out, momentarily dazed.
“Fumino-san, a quick suggestion.”
“What?”
“How about a short nap before we go? In this state, I don’t think we can function properly.”
“What a coincidence. I was just about to suggest the same.”
“Great. Let’s take a nap, and then we’ll head to the new land.”
After a light meal, intending to sleep just a little, they ended up sleeping for a solid six hours. Despite this, they completed their preparations and finally stepped into the magic array seeking new horizons.
“We slept longer than expected, but are you feeling okay?”
“Yes, thanks to the rest, I feel refreshed.”
“Glad to hear that. So, ready to go? Any regrets?”
“Of course not. I’m getting a bit tired of this place.”
“Okay.”
With that, Taichi tightly held Fumino’s right hand with his left.
“! Ito-san!?”
While Fumino panicked, Taichi had a relaxed smile.
“Well, we know objects can transfer together, but we haven’t tested it with people yet—just in case, holding hands might be safer. Ha ha ha.”
“Really… Alright. Shall you escort me then?”
“My pleasure, Mademoiselle.”
Still holding Fumino’s hand with his left, Taichi brought his right hand to his chest and gave an exaggerated bow.
“Here we go — ‘Transfer’!”
A dazzling light filled the room, and finally, the two departed from the place where they had first arrived in this world.
