The document outlines 8 steps to financial success: 1) Set goals; 2) Understand risk; 3) Leverage the power of compound returns over time; 4) Invest early and often; 5) Increase savings when income increases; 6) Stay focused on long-term investing rather than trying to time the market; 7) Have adequate life insurance; 8) Use a professional wealth manager for their expertise, resources, and help achieving financial goals. It provides examples and formulas to illustrate concepts like compound returns and how much to save monthly to reach savings targets. The document encourages long-term investing for growth and using a wealth management firm for guidance.

1. D'arcy Wealth Management, Inc
8 STEPS TO
FINANCIAL
SUCCESS
THE KEY PRINCIPLES
Q1 2017 DARCYWEALTHMANAGEMENT.COM

2. STEP 1 – SET YOUR GOALS
Not setting goals makes it difficult to chart your progress. Work backwards if necessary. If you want a certain sum in a certain number of
years, you can find out what it is going to take to get you there.
How to reach $1,000,000 from scratch
To see how much you need to invest on a monthly basis to reach $1,00,000 at age 65, see the table below (not adjusted for taxes). This
chart assumes a 6% annual rate of return, used for illustration purposes only, and is not intended to represent the performance of any
particular product.

3. STEP 2 – UNDERSTAND RISK
Historically stocks have significantly outperformed other investments in the long-run. Even though the prevailing bull market of the last
decade has demonstrated higher than normal returns, equity-oriented investments have historically out paid other investments

4. STEP 3 – TIME IS ON YOUR SIDE
Understanding the power of compounding returns will help you understand how saving a little now can produce a substantial sum of money
down the road.
RULE OF 72
The Rule of 72 is a formula to approximate how many years it will take to double your money given a specific compounded annual rate of
return.
For example, if you invest a lump sum of money and receive a compounded annual rate of return of 10%, it will take you 7.2 years to double
your money. Taxes are not taken into consideration.
72 / 10 = 7.2 years
The following is a table of compounded annual rates of return, and the corresponding years it will take to double your money. This is a
hypothetical example used for illustrative purposes only and is not intended to represent the performance of any particular product.
Rate of Return Years to Double your money
3% 24
6% 12
9% 8
12% 6

5. STEP 4 - INVEST EARLY, INVEST OFTEN
Waiting for an employer to fund your retirement, or putting it off until “later’ is the mistake most investors make when it comes to funding
investments. Employ the “percentage solution” by putting away a certain percent of your monthly gross income towards investments before
anything else. Available money always seems to find a place to get spent, so get it invested before you have a chance to spend it.
Invest early and invest often. The earlier you start as an investor, the bigger the bang you get for your investing bucks. It’s all about
compounding, a term that means earning investment gains on your investment gains. If you invest $1,000 and make 10% in the first year,
then going forward you have $1,100 working for you. The longer you stay invested, the better compounding works. If you invest $1,000 and
make 5% annually over 20 years, you end up with $2,653.
Above is a hypothetical example used for illustrative purposes only and is not intended to represent the performance of any particular product.

6. STEP 5 – INCREASE YOUR SAVINGS WHENEVER YOU CAN
Inflation will not stop for you, so don’t forget to increase your savings when your income increases.

7. STEP 6 – STAY FOCUSED
Don’t try to time the market. The trick is “time in” the market. When interest rates are low, stocks tend to grow. Invest for the long term when
possible, keep your short term or “emergency money” in safe accounts.
Even the results of successfully timing the market are relatively insignificant in the long-run. Hypothetically, if $10,000 is invested each year
for 20 years in the S&P 500 Index on the worst day of each year (market at its highest), systematically (regardless of the market), and the
best day of each year (market at its lowest), how will each investment account do? Again, the result demonstrates that when you put money
in doesn’t matter as much as how long it is in— invest anytime, but stay invested.
Worst-day Investments (Market Highs)

10. STEP 7 – HAVE ADEQUATE LIFE INSURANCE
A good rule of thumb is to have a minimum of 10 times your annual income. That amount, properly invested, should be able to replace the
annual income lost in the event of death. For a non-working spouse, it is still important to consider coverage, especially if they are providing
care for your children.
STEP 8 – USE D’ARCY WEALTH MANAGEMENT
As a D’Arcy Wealth Management client, you have access to a professional wealth manager. Professional wealth managers offer...
Experience
Wealth Managers bring wisdom and knowledge gained from years serving client needs and goals as investment professionals.
Time
Wealth Managers stay on top of the investment world so you don’t have to.
Resources
Wealth Managers are backed by the research, expertise, and additional support of the professional investment company.
Knowledge
Wealth Managers understand how different products work within different strategies.
Investment Planning
Wealth Managers help you determine your investment goals and risk tolerance.
Investment Discipline
Wealth Managers remind you of your investment goals and help evaluate various moves based on those goals.
Taxes
Wealth Managers can help provide information about the tax consequences of different investment products and different investment moves.
D’Arcy Wealth Management is a leading provider of investment and insurance products. Whether you need stocks, bonds, mutual funds,
ETFs, annuities, life insurance, or estate planning products, D’Arcy Wealth can help you reach your financial goals.
Contact us today and speak with a Wealth Manager darcywealth@gmail - general email 909.754.1570 - office