Compounding: The 8th Wonder of the World (Explained Simply!)

Insights & Strategies for Smarter Trades

Compounding: The 8th Wonder of the World (Explained Simply!)

Albert Einstein called Compounding the 8th wonder of the world. But how does it work?

Example of Compounding Magic

You invest ₹1 lakh at 12% annual return.
After 1 year, it grows to ₹1.12 lakh.
After 10 years, it’s ₹3.10 lakh.
After 30 years, it’s ₹29.95 lakh—almost 30X growth!

The Power of Time in Compounding

₹1 lakh invested at age 25 grows to ₹95 lakh by 60.
₹1 lakh invested at age 35 grows to ₹30 lakh by 60.
Conclusion: The earlier you start, the bigger your wealth!

Golden Rules of Compounding

✔ Start Early – The sooner, the better!
✔ Reinvest Earnings – Let the cycle continue.
✔ Be Patient – Wealth isn’t built overnight.

💡 Compounding turns small investments into a fortune. Start today! 🚀

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Disclaimer: Trading in financial markets involves significant risk and may not be suitable for all investors. The information provided on this website is for educational purposes only and should not be considered financial advice. Past performance is not indicative of future results. Always conduct your own research and consult with a licensed financial advisor before making any trading decisions. By using our services, you acknowledge and accept the risks involved in trading.

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