I admire anyone who has the patience to engage in CI for 10 years plus. What length of time would you recommend for CI?
As long as possible. Warren Buffett has compounded for over 60 years. Look where that got him.
The thing about compounding is the biggest factor is time. So the longer it goes, the greater the pile is.
$1,000 compounded over 10 years at 10% is not nearly as big as the same scenario compounded over 30 years.
We should have some money that is set aside to compound over decades. This is the idea behind individual retirement accounts. Sadly, many of them end up eating the returns with fees.
As for inflation, we are entering a cyclical period. However, do not be misled by that. We are on a deflationary trend over the last few decades and this will only accelerate. Wages are being crushed as automation kicks in. The velocity of money is stalled. And we have technology expanding at an historic pace.
None of that bodes well for inflation.
Posted Using LeoFinance Beta
What are you compounding your money in?
Posted Using LeoFinance Beta