Financial Advisor, Darcy Bergen Explains the Power of Compound Interest
Darcy Bergen owner of Bergen Financial Group offers conservative retirement planning strategies and products designed to provide guaranteed income for life while protecting their client’s principal.
Darcy Bergen
Darcy Bergen sheds light on earning substantial interest upon interest with compounding interest investments.
Compound interest is when the interest that accrues on an investment is added to the principal, and then the future interest accrues on the total. If the investment is placed in a trust or is able to accumulate more interest over time, the end result can be quite substantial, as it’s essentially growing interested in interest on interest.
Darcy Bergen explains, “If you deposit money into an account that is compounded annually, this is where the money will proliferate at a higher rate. For example, if you place $10,000 into a compounded account at a 5% interest rate with an additional $1,000 investment annually added to the account, the money you’d accrue at the end of ten years would be $29,495.73. The same investment in a simple interest account would be $25,000 at the end of ten years. This type of compounded investing is where the longer the investment is in place, the better the interest accrued will be in the long-term.
“The one thing that might deter senior investors is the time factor, but that’s where professional investment advisors prevail; we can help individuals find higher percentage investments to hold their money and watch it accrue even more quickly. We can recommend higher yielding interest rate accounts depending on the individual’s goals. For example, if we obtain an account that yields 8% interest for a client, they will see their principal investment double within nine years, and that’s with no additional investments.”
Bergen Financial Group offers conservative retirement planning strategies and products designed to provide guaranteed income for life while protecting your principal from the fluctuations of the stock market with fixed annuity options.
Bergen Financial Group shows clients that there is a way to save and live with guaranteed income for the rest of their lives with annuity-based products. Darcy Bergen’s team of advisors has over 100 years of experience assisting clients. There is no longer a need to guess; they will set up a customized plan and help you implement a personalized strategy depending on your specific needs.