Compound interest is a simple way to improve returns and the eighth wonder of the world


#1

Originally published at: http://whichinvestmenttrust.com/compound-interest-is-a-simple-way-to-improve-returns-and-the-eighth-wonder-of-the-world/
There aren’t many ways to improve returns in the super-efficient world of modern investing. The application of modern portfolio theory (that the market already prices in all known published data), behavioural finance and more and more computing power leaves little scope for beating the competition without increasing risk. But there is one avenue left to…


#2

I very much agree with the points you’ve very eloquently made here @robert_davies, the only proviso I’d add to your points is if you can afford it. Unfortunately too many live week to week in this country which the chopping away of Tax credits for the poorest families wouldn’t have helped much at all.

In the round however you are very right, as was your pal Einstein, compounding interest really is the eighth wonder of the world.