Compound interest is the 8th wonder of the world?Contrary to belief, trading has never been and never will be a get rich quick scheme. I hope that’s something we can all agree on? It is a get rich slowly scheme. What’s the main factor to this, well you still can get rich!
Trading is about planting the seeds, watering them, caring for them and nurturing something small until it eventually grows into an entire forest. The biggest mistake traders make is chasing instant gratification.
Compound in trading starts with small consistent gains that don’t look exciting to begin with. But over time they snowball into something extraordinary. Albert Einstein called compound interest the eighth wonder of the world for a reason. Patience transforms the ordinary into the extraordinary.
If you have an initial account balance of $5,000
At 5% monthly:
3 years → $28,959
5 years → $93,395
10 years → $1,744,599 (1.74 million)
At 10% monthly (aggressive, but for illustration):
3 year → $154,463
5 years → $1,522,408 (1.52 million)
10 years → $463,545,344 (463.5 million)
That’s the power of patience. The difference isn’t the amount you start with, it’s the time you allow for your money to grow. Most traders lose because they want results overnight. Let compound interest do the work for you. Use Einstein’s eighth wonder of the world!
Compoundinterest
Compound Interest - A Trader's Secret WeaponIn this video I give you a perspective that traders often neglect - Compound Interest.
Compounding is probably the most important part in terms of becoming a trader that survives in the long run. Social media is filled with traders nowadays, and some of them are pretty good at trading. However, shortsightedness gets to them as they forget about the one thing that ensures longevity in this game. It is way easier dig yourself into drawdown than it is increase your wealth, it is just math. The technique that greatly rewards the disciplined and patient trader is COMPOUNDING.
As Albert Einstein said according to some sources although not verified is that "Compound interest is the 8th wonder of the world".
- R2F