*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!
I Quit Being a Court Magician Apprentice to Become a Magical Item Craftsman
It’s no longer just about nectar. I should probably think of something in case of an emergency. Equipment or strategy, perhaps.
To change my mood, I thought of taking a walk around town and stepped outside. As I started walking towards the bustling street, I was called from behind.
“Iriya , Iriya . Customer.”
It’s Silphie, the fairy contracted with Sieghart. Lately, she’s become less afraid of humans and seems to enjoy going out into town.
“Thank you, Silphie. Master Sieghart, thank you for your hard work.”
“Yes, it looks like you’re busy too, Iriya . There’s something I want to give you.”
Lately, I’ve been away from home quite often. Thankfully, we didn’t miss each other.
Sieghart introduced me to two elves, a man and a woman. They looked about my age, both with golden-brown hair.
“We are from the forest of Montian. Justus asked us to deliver this medicine as a token of gratitude.”
Inside the box the woman handed me were the amulets I had requested! First, two of them. I mentioned wanting them quickly because various things might happen, but I never expected them so soon. I’m delighted; once I infuse them with magic power, the amulets will be complete!
“We will diligently finish the remaining items.”
The man accompanying her wore a slender sword at his waist. Perhaps they came as a combination of swordsman and mage?
“Then, I shall take my leave. If any humans bother you, please inform the guards immediately.”
“Thank you for your consideration.”
Sieghart seemed to be returning to work. The female elf thanked him.
“Well then, see you later. Do visit again.”
Silphie reluctantly flew back to Sieghart’s shoulder, twirling as she went. The two turned back along their path and headed towards the southern gate.
“By the way, where is Lord Iriya heading?”
“I’m going to buy bread for lunch and maybe browse some shops in the bustling street.”
“May we accompany you? We also need to buy provisions.”
“It’s perfect,” the man said. It seemed that restoration of the elven village was proceeding well, though there would be no harvest from the damaged fields anytime soon.
“What kind of things are you buying?”
“First, salt. Also, bread, and vegetables.”
“Soap and cloth too. Humans have provided us with clothing, but we wish to make our own preferred garments.”
Differences in taste are inevitable. Since salt is heavy, perhaps we should buy cloth and soap first?
As we shopped together and visited the third store, Rendall appeared.
“Rendall, alone?”
“Just shopping.”
The two elves exchanged glances upon seeing him.
“…Breegeeda’s son, Rendall?”
Apparently, they knew of him, if not directly.
“…Breegeeda is my mother.”
Rendall replied with an unusually tense and cautious tone. I heard his mother lived alone in the same village as Nordine’s family.
“We are from the forest of Montian across the river. We’ve heard the story of how she left with humans and was betrayed.”
“No, that’s a misunderstanding. My father passed away due to old age, and humans have short lifespans.”
“I see. I heard your mother was disowned by her parents and expelled from her village for marrying a human. But you’re welcome to visit our village anytime.”
The woman holding the bag of clothes smiled and invited him, but Rendall had a bitter expression.
“Thank you for the invitation, but I doubt I’ll ever step foot into the elven village. After my father died and my mother and I were caught up in a village dispute, your people harshly drove her away when she sought refuge in the village.”
The two elves had no words to respond, and Rendall bowed and walked away.
I felt like I overheard something I shouldn’t have…
“Um… Rendall is now a top-class adventurer working happily with friends. Please don’t worry.”
Let’s change the mood and buy groceries. Where should I get my lunch bread?
After visiting a couple of grocery stores, I accompanied them near the western gate. The remaining items I ordered should arrive later.
Alright, I’ve eaten. Time to create protective amulets.
Its name is Kepheri. This special amulet responds to mana and provides strong protection against magic and physical attacks.
Shaped like a scarab beetle, it holds a natural stone. Special magical inscriptions are meticulously carved into the base.
For demon protection, I used black morion, known for its strong banishing properties. The eyes are amethysts.
“Master of all, thus he spoke: Kepheri Kepel Kepelū Kepel=Qui Mu Kepelū Nu Kepri Kepel Mu Sep Tepi. Become my substitute to protect my hollow vessel.”
Infusing it thoroughly with mana completes it!
The morion seems to have gained more luster and looks beautiful.
“Here, this one.”
“Eh? For me?”
I handed it to Ekvar, who was observing the creation process. He hesitantly took it.
“This reacts to mana and protects against magic and physical attacks. It expands upon detecting attack magic, so it might offer some defense even against the King of Hell.”
Though not stylish since it resembles a bug, its effect is remarkable. Yustus modestly said it was just a hobby, but he did a great job with excellent stones!
“Shouldn’t you keep it, since you always shield me?”
“But you always protect me. Consider it a token of gratitude.”
He looked incredibly pleased. I guess these aren’t distributed on request? Both court mages and researchers can craft amulets…
Sebirino, replenishing mana into a ritual dagger at another table, stared longingly at the amulet Ekvar received.
“What, Sebirino…?”
“I’m envious.”
“You can make your own, Sebirino.”
“…Master gave Annika a staff. I don’t recall receiving anything as the senior disciple?”
Eh? Is he sulking?
“But you have a fine dagger…”
“Yet it’s unjust that a specially crafted item imbued with master’s mana doesn’t reach this foremost disciple!”
Sebirino’s skill at crafting magical items is top-notch! Why does he desire this? And why does he insist on being the primary disciple? I thought he’d grow tired of it eventually…
“Well, next let’s make one for myself!”
“Master~!?”
Seeing it was leading nowhere, I decided to end the conversation and resume crafting amulets.
“You know, persistent men are disliked?”
Ekvar placed a hand on Sebirino’s shoulder, and he finally seemed to relent.
I’ll consider Sebirino’s amulet after finishing mine.
Mine is a ring designed to enhance mana. Around a six-pointed star pattern are four five-pointed stars, with carnelian at the center.
On the inside, a divine name is inscribed in magical script.
“Adonai, El, Elohim. Under the holy name, may all living things prosper on earth. Grant the hidden power of Semhamforas here. Be the rain poured into the source.”
I tried the finished amulet on my finger. It feels good.
For now, I’ll store it in my item box.
Hmm, Sebirino’s amulet… I vaguely recalled a suitable amulet while reviewing materials and a calendar I compiled during the Egodalm era.
Yes, this is perfect!
I took out a small round plate made of Mithril.
Using orange ink, I first drew two concentric circles along the circumference, then carefully sketched a twelve-pointed star using a ruler. Referring to the materials, I wrote “El” in magical script at the center and inscribed “Be tranquil, and erase the void” between the two orange circles. Between the figures, I added “Omniscience, stay close to thee.”
Purifying it, I infused mana.
“Mightiest Adonai, fiercest El, standing through eternal time. Cross the bronze sea and send forth your radiant flames. With great compassion, consecrate this pentacle.”
I could feel the plate enveloped in mana. Once activated with the prescribed words, it will function as an amulet.
“It’s done.”
Sebirino, who had been watching me craft amulets, seemed to have finished his tasks for the day. Perfect timing, I handed it to him, and he accepted it with trembling hands. What an exaggeration.
“This is for you, Sebirino. A Mercury amulet to boost mana. Use it in crucial moments.”
“Oh…! An amulet of the planets crafted by my master himself…!!! I gratefully accept it. So, even this primary disciple receives such intricate, expert-level amulets!”
“…Yes.”
Planetary amulets include those of Mercury, Mars, the Sun, etc., and are quite potent. Various types exist.
“I’ll surely meet your expectations and demonstrate mastery over it!”
He looked extremely pleased. I just thought it was a good time to craft this amulet, but he interpreted it positively.
By the way, he’s referred to himself as “this” primary disciple three times already. What’s with the “this”? Why emphasize being the primary disciple so much!?
