Start Investing Early
Many people ask me that, Which is the single most effective advise that you would like to give the people who want to start the Investment for their Financial Future? Well, my single most effective advise is – Start as Early as Possible means Now…!!!
Believe me…This is the 95% advise that anyone needs to succeed in the game of Investment. One of the reason why Warren Buffet is world’s most successful Investor is because he started investing when he was 13. Today he is 80. Nobody else in this world has ever started investing this much early in the history of mankind and that’s why he is the richest investor today.
Now, you will ask me that, What is the reason behind this? Well, the reason is – The Compound Interest. According to Albert Einstein, The Compound interest is the greatest force in the Universe. If worked on your wealth, it can multiply your wealth in a breath taking manner. The Compound interest grows exponentially over the time unlike the simple interest which grows in the linear proportion.
Only 5 years of difference can make a huge difference in your wealth later on. Say for Example, you start investing at the age of 25 and your friend starts investing at the age of 30 than at the age of 65, your wealth will be more than double than your friend even if both of you have earned the same amount of money whole of your life. This is because you have started investing 5 years early than your friend and this 5 years will make a huge difference in the wealth later on because of the compound interest.
So Start Investing early rather than earning a lot in the later life.