25 Aug 2023
Friday Tidbit
- Posted by Dejan Pekic BCom DipFP CFP GAICD, Senior Financial Planner
According to Albert Einstein…
“Compound interest is the eighth wonder of the world.
He who understands it, earns it… he who doesn’t, pays it.”
If you invest $1,000 in Australian listed companies on 1 July 1993 then 30 years later you will have 14 times that amount or $14,150 which is a excellent result.
However, if you invested that same $1,000 and added $100 per month for 30 years then you will have 11.8 times more than $14,150 or $166,468.
Compounding is truly the secret ingredient for wealth accumulation but it’s not a secret.
WARNING, this does not constitute Personal Advice. To discuss if this is an appropriate strategy for your given circumstances please do not hesitate to contact us directly.
If you have family, friends or colleagues that want financial advice please ask them to contact us and we will work out how best to help.
At Newealth we are always looking to support and promote our clients wherever possible and if you have any ideas or comments, please feel free to email me or to call me on +61 2 9267 2322.
