“Compound interest is the eighth wonder of the world. He who understands it, earns it; he who doesn't, pays it”- Albert Einstein

Compound interest is the process where your investment earns interest not only on the initial amount but also on the accumulated interest from previous periods. This means that your money grows faster over time, as each interest payment builds on the last.

Understand it or pay it

Conclusion:

It takes about 7 and a half years to double your initial investment with an index fund which is often the best case scenario for a retail investor. With our Money makers’ goal return per year, it would instead take about 6 years to double your investment and with our Money printers’ goal return per year it would take about 5 years. This makes a massive difference in the long run.