Utilizing the Power of Compounding Interest

February 13, 2020

Compounding interest is one of the best tools at your disposal to help grow your investment portfolio substantially. Taking advantage of compound-interest earning investments can help you achieve higher levels of success, which means the more you focus on the future the better your reward will be.
Whether considering investment alternatives or evaluating purchases, a simple mental exercise can help you determine how valuable your money is today. A dollar invested today, earning an average of 20% annually, is worth $2.5 in 5 years, $6 in 10 years, $38 in 20 years, and $237 in 30 years. The sooner you start investing, the more your investment portfolio will be worth when you decide to retire. Smart investing is the pathway to financial freedom, and to early retirement for those who are seeking it.
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