“Compound interest is the eighth wonder of the world. He who understands it, earns it. He who doesn’t, pays it.” - Albert Einstein
This post is taken from chapter two of Stop Saving Start Investing. All rights reserved.
I’m sure you know the story of the tortoise and the hare. The hare sprints ahead of the tortoise in the beginning, before taking a nap under a tree. The slow, plodding, risk managing tortoise eventually takes over the hare and wins the race. The tortoise is patient and knows that the race is long.
When it comes to investing it’s usually the tortoise who gets rich in the end. This is because investing is a long-term game, and ‘get rich quick investments’ based on hunches or ‘expert tips’ often end in disaster.
The tortoise beat the hare because he had the better long-term strategy. Think like the tortoise and you’ll go far with your investments!