07 Jun '12, 12pm
The Magic of Compounding???
Read? Saving, Lending and Investing (5) Read? Compound Interest is not the same as Compound Returns (4) Read? Saving matters but Investing determines – Part 3 “Compound interest is the eighth natural wonder of the world and the most powerful thing I have ever encountered.” ~ Albert Einstein Quotes The Magic of Compounding really works for who??? The magic of compounding works well for lenders for secured lending financial products e.g. home loans and extremely well for threatening secured lending like Ah Longs. Does this magic of compounding still work for good savers but poor investors? Who is sitting at the other end of the compounding see-saw? Big brother – INFLATION!!!! Is inflation rate getting heavier or lighter for years to come??? We have little choice but invest more time and effort in getting ourselves heavier with investing knowledge and skills! Investing is not...