Skip to main content

Posts

Showing posts with the label compounding

Just my thoughts #0749

Thinking of love and hate, honesty and dishonesty as extensions of myself helps shape how I build relationships and how I act. The truest honesty I show to others is reflected in how I extend honesty to myself and share it with them. Those who are not honest with themselves are also not honest with others. If I don’t forgive myself, my hatred for others also fosters negative feelings within me. I can accept others in myself just as much as I accept myself. My well-being always comes first, with others coming second. - Joseph’s “just my thoughts”

Just my thoughts #0345

Warren Buffett’s assets were once estimated at $82 billion. 90% of these assets have been earned by Warren Buffett since he turned 65. The way to make money over time without labor is through finance; it’s an interest. One of the most economically effective methods is ‘compounding.’ This involves deriving interest from the principal and then earning interest again on the total of the interest and principal, continually repeating this process, making compounding the most efficient money-making method discovered by humanity. The same applies to stock investments; to achieve this compounding effect, you need to earn at least a 4% annual return. However, this is only valid for long-term investments like those of Warren Buffett. - Joseph’s “just my thoughts”