
Starting early and #investing are the keys to compounding returns:
A simple, but informative visualization from JP Morgan illustrates a few scenarios involving consistent cash savers, and early, late, and consistent investors:
- The best returns are achieved by early and consistent investors (Multiple of Money (MoM) = 5.36x).
- A late investor who invests much more over a longer period of time performs marginally better than an early investor who quits investing after ten years (MoM: Early investor – 11.25x, Late Investor – 3.36x).
- And finally, the regular saver who doesn’t make any investments gives up the bigger returns (1.65x).
Remember, time, consistency, and rate of return play crucial roles in wealth accumulation!
Source: JP Morgan / #investment #PersonalFinance
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