FirstStepsInvesting

Decoder · How growth works

Return

What your money earns, shown as a percentage over a period. A 7% yearly return on $100 is $7 in a year — before compounding starts stacking. Returns are never promised. Any page here that shows a return shows it as an assumption you choose, printed next to the result, never as a forecast of your life.

For your first $100: Chasing the biggest return is the classic first mistake. The order — cushion, match, debt, account — pays you more reliably than any hot return chase.

Compound growth, in plain wordsDividend, in plain wordsDollar-cost averaging, in plain words

← Risk · All 50 cards · Compound growth →

See this word inside your order