This is How Compounding works - MUST WATCH | Mohnish Pabrai | Stocks | Investment

Mohnish Pabrai emphasizes that compounding is the magic of investing, where wealth snowballs over time through the reinvestment of returns. He illustrates how even modest annual returns can lead to substantial wealth accumulation over long periods. Pabrai advocates for patience and discipline, highlighting the power of staying invested and allowing compounding to work its wonders.
Renowned investor Mohnish Pabrai emphasizes the profound impact of compounding in the stock market. According to Pabrai, compounding is not just a mathematical concept but a powerful force that can significantly amplify wealth over time. He advocates for a patient and disciplined approach, focusing on businesses with enduring competitive advantages to harness the full potential of compounding in stock market investments.
What is Compounding? Compounding in Stock Market
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Пікірлер: 376

  • @CaedenV
    @CaedenV27 күн бұрын

    I came here to knock the video due to the thumbnail... But yeah, the math here is sound. I mean, the idea of stock picking for a 2-3x return is a bit of an unrealistic expectation every year, and will probably even out with loosing picks to bring the average back in line... But outside of that, this video is spot on. My kids are just starting to hit those middleschool years, and I am trying to lay that foundation of understanding and expectations that when they do start working, to start investing aggressively and early. They may not want to live with mom and dad forever, but as long as they are aggressive savers and building wealth, then they are more than welcome to live with us as long as they want. We are even considering doing at least a partial "match" for their Roth when they start working to help them put their money towards other things that they need as a young adult (like a car, furnature fund, future house down payment, etc). Because at a young age, maxing out your Roth nearly guarantees that you have half a million dollars by retirement. Do that for 4-5 years and you should have an easy $2M by retirement age. Even with inflation, that is enough safety net so that they can have a basic retirement safety net in place. $2M won't be crazy money in 60 years when they retire, but it will be enough to put a roof over their head, keep the lights on, and keep food on the table. As long as they continue investing, even a little bit, then they will have an awesome life ahead of them. This last year I turned 40... And man did I get a late start lol. I did get into a house early, but I had a ton of debt early on, and wasn't in a career with any kind of retirement plan options, so I didn't really start saving until 35... But as we paid off debts we saved extremely aggressively to make up for lost time. In the last 5 years, through a lot of hard work and sacrifice, we have made up for the last 15 years of not investing. The temptation is to say we are caught up, and to enjoy our income now that we are caught up to where we ought to be... But we still have 20-25 years of compounding ahead of us. Continuing to sacrifice and save aggressively for another 5 years should put us in a place where we hit critical mass. It is the point where even if we stopped investing, it should compound the rest of the way to our goal for our current lifestyle. We can then step waaaay back and either work a lot less to maintain our current lifestyle and not worry about retirement investing for 20 years. Or we can keep working hard, save only 10%, and continue growing retirement to the expanded lifestyle target. Both of those options sound amazing to me! So we continue with the sacrifice. The one thing I wonder though is the goal of building wealth significantly beyond needs. I mean, if I have $2.5M in retirement then I'll never run out with my current lifestyle, even when accounting for inflation, and not factoring in any kind of social security. If we continued to save like crazy, I kind of fail to see the point. I could potentially hit $10M if I really tried... But... Why? My goal with money is security and safety. Accumulating significantly beyond that doesn't provide more security (security theater maybe), so all things equal I would rather spend that money on making my world a better place. Money for it's own sake is fine if you genuinely enjoy the game of it. But most of us have other goals.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    26 күн бұрын

    Thank you for sharing this will definitely help a lot of viewers!! ❤️

  • @bobbergin28

    @bobbergin28

    3 күн бұрын

    The math is not sound it is a mathematical impossibility for compounding to occur in the markets due to the fact that all gains must be locked in for them to compound, which can never occur in a fluctuating market. It is a lie perpetuated by financial planners and Wall Street forever and there should be a lawsuit filed with the SEC to disallow it.

  • @sandorvarga.6982

    @sandorvarga.6982

    Күн бұрын

    VRAU BANI MEJ.CHES 990.billion. /£/DATA. 20.may.2023

  • @GarridoLuis545
    @GarridoLuis545Сағат бұрын

    It's a common misconception that when a stock you buy skyrockets, the smart thing to do is sell it (or at least sell some of it) to lock in your profits. But the context matters. If the stock has increased sharply because the business is performing exceptionally well, it could still be a bargain. I'm still looking for companies to make additions to my $350K portfolio, to boost performance. Here for ideas

  • @JaneGallagher-ur9jp

    @JaneGallagher-ur9jp

    Сағат бұрын

    I agree that there are strategies that could be put in place for solid gains regardless of economy or market condition, but such executions are usually carried out by investment experts or advisors with experience

  • @CatherineBates-bg4fc

    @CatherineBates-bg4fc

    Сағат бұрын

    A lot of folks downplay the role of advlsors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation from $275k to $850k.

  • @VeronicaLodge-do2sz

    @VeronicaLodge-do2sz

    Сағат бұрын

    Glad to have stumbled on this conversation. Please can you leave the info of your advisor here? I'm in dire need for one

  • @CatherineBates-bg4fc

    @CatherineBates-bg4fc

    Сағат бұрын

    Viviana Marisa Coelho is her name. She is regarded as a genius in her area and works for Empower Financial Services. By looking her up online, you can quickly verify her level of experience. She is well knowledgeable about financial markets.

  • @SheileyLuna

    @SheileyLuna

    Сағат бұрын

    She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing

  • @Emily-le2op
    @Emily-le2op23 сағат бұрын

    Opinions diverge; some claim overvaluation due to rapid gains, while others cite strong economic fundamentals justifying high valuations. Raises concern for my $600K equities going 8% up and 20% down. Should i hold on or sell off my positions and hold cash?.

  • @ConradGosling

    @ConradGosling

    23 сағат бұрын

    It may be a good idea to speak with a financial advisor who can help you develop a portfolio based on your individual goals and risk tolerance.

  • @stevensmiddlemass2072

    @stevensmiddlemass2072

    23 сағат бұрын

    I do agree, Investing has gotten difficult especially after pandemic, hence why I decided to use the expertise of an advisor, my spouse kicked against the idea initially, but oh well guess who's best buddies with our advisor now hehehe.

  • @carter3294

    @carter3294

    23 сағат бұрын

    Glad to have stumbled on this comment, I will like to give this a try. Please who is your advisor and how do I get in touch?

  • @stevensmiddlemass2072

    @stevensmiddlemass2072

    23 сағат бұрын

    Her name is “Monica Shawn Marti” can't divulge much. Most likely, the internet should have her basic info, you can research if you like>>

  • @billybrannon6394

    @billybrannon6394

    23 сағат бұрын

    I just Googled her name and her website came up right away. It looks interesting so far. I'm going to send a mail to her and let you know how it goes.Thanks for sharing truly!

  • @CameronFussner
    @CameronFussnerАй бұрын

    Biggest lesson i learnt in 2023 in the stock market is that nobody knows what is going to happen next, so practice some humility and follow a strategy with a long term edge.

  • @lowcostfresh2266

    @lowcostfresh2266

    Ай бұрын

    Nobody knows anything; You need to create your own process, manage risk, and stick to the plan, through thick or thin, While also continuously learning from mistakes and improving.

  • @hasede-lg9hj

    @hasede-lg9hj

    Ай бұрын

    Uncertainty... it took me 5 years to stop trying to predict what bout to happen in market based on charts studying, cause you never know. not having a mentor cost me 5 years of pain I learn to go we’re the market is wanting to go and keep it simple with discipline.

  • @parrish8386

    @parrish8386

    Ай бұрын

    @@hasede-lg9hj I’m in dire need of guidance so i can salvage my portfolio due to the massive dips and come up with better strategies. How can I reach this advisor?

  • @parrish8386

    @parrish8386

    Ай бұрын

    @@hasede-lg9hj Please pardon me, who guides you on the process of it all?

  • @hasede-lg9hj

    @hasede-lg9hj

    Ай бұрын

    @@parrish8386 Amber Angelyn O’ Malley is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

  • @cyrilmilton
    @cyrilmilton18 күн бұрын

    Thanks for the video. I finally established a way to increase my net income per month. My 2024 goal is to pay off the house by Sept 2024 (8 years total into a 30 year @ 4%). I have no debt other than mortgage. My 401k, HSA, IRA and emergency funds get maxed out. The mortgage is my last piece of debt left. I don't have any school loan or CC debt. I've made a lot of sacrifices over the years.

  • @suziehovic

    @suziehovic

    18 күн бұрын

    Congratulations on taking the steps necessary to get yourself out of the financial bind you were in.

  • @mykreid

    @mykreid

    18 күн бұрын

    That's truly remarkable. I hope you don't mind pointing me towards their direction.

  • @cyrilmilton

    @cyrilmilton

    18 күн бұрын

    She's Sophia Elaine. One of the finest portfolio managers in the field.

  • @cyrilmilton

    @cyrilmilton

    18 күн бұрын

    she's mostly on Telegrams, using the verified user name.

  • @cyrilmilton

    @cyrilmilton

    18 күн бұрын

    @PhiaElaine :That's her Handle!

  • @DanielFerreira596
    @DanielFerreira59621 күн бұрын

    Overall, 51% of traders think this year would favor stocks, mutual funds, and other equity-based investments, despite Treasury yields and other safer cash-like investments paying big. I’m looking for opportunities in the market that could fetch me $1m ahead of retirement by 2025

  • @JimmyA.Alvarez

    @JimmyA.Alvarez

    21 күн бұрын

    There’s much uncertainty now, my question is what stocks can be the next wave in terms of growth for the next decade?

  • @Erickruiz562

    @Erickruiz562

    21 күн бұрын

    I agree just reached my goal of $500k monthly trade earnings. Setting realistic goals is an essential part of trading

  • @JanineJ.Cromwell

    @JanineJ.Cromwell

    21 күн бұрын

    That's impressive, have you always had guidance?

  • @JanineJ.Cromwell

    @JanineJ.Cromwell

    21 күн бұрын

    Please educate me, i'm willing to make consultations to improve my situation,

  • @WyattSmith-v

    @WyattSmith-v

    21 күн бұрын

    One of the fiduciaries I deal with is Jennifer Lea Jenson. Just check the name. There would be a letter with the necessary information to set up an appointment.

  • @EverlyndPerez
    @EverlyndPerez7 күн бұрын

    My strategy has always been to invest 25% of my income in the stock market at the beginning of each month. The second part of my strategy is not to sell for at least 5 years, but recently my portfolio has suffered major decline about $150k in losses. What can I do please?

  • @Debbie.Burton

    @Debbie.Burton

    7 күн бұрын

    Look for stocks that have paid steady, increasing dividends for years (or decades), and have not cut their dividends even during recessions. which may reduce your dividend gains or income, speaking to a certified market strategist can help with pointers

  • @Theresaa12

    @Theresaa12

    7 күн бұрын

    Agreed. It's always wise to be proactive and consider diversifying our investments to manage risks in uncertain economic times. I delegate my day-to-day investing to an advisor ever since suffering a major steep-down late 2019, amid rona-outbreak, and as of today, I'm semi-retired with barely 25% short of my $1m retirement goal after subsequent investments

  • @A_francis

    @A_francis

    7 күн бұрын

    my partner’s been considering going the same route, could you share more info please on the advisor that guided you to such impressive gains

  • @Theresaa12

    @Theresaa12

    7 күн бұрын

    “Sharon Lynne Hart” is the licensed advisor I use. Just search the name. You’d find necessary details to work with to set up an appointment.

  • @BenTodd-fl8nv

    @BenTodd-fl8nv

    7 күн бұрын

    I just googled her and I'm really impressed with her credentials; I reached out to her since I need all the assistance I can get. I just scheduled a caII.

  • @darnellcapriccioso
    @darnellcapriccioso29 күн бұрын

    Minus the increasing wealth gap, it's sad how difficult things have become in the present generation. I was wondering how to utilise some money I had. I used some of it for e-commerce business, but that sank. I'm thinking of how to use what's left to invest, but I don't really know which way to go.

  • @richardhudson1243

    @richardhudson1243

    29 күн бұрын

    I get it, navigating today's challenges is tough. Protecting what's left is crucial. Consider seeking advice from a financial advisor for investment direction. And remember, a failed business doesn't mean giving up.

  • @Aaronduckstein49

    @Aaronduckstein49

    29 күн бұрын

    Exactly. Failed businesses are just steps forward. Don't lose hope. When choosing a financial advisor, find someone who understands your unique needs-I learned this through experience. Now, I earn six figures from investments alone, and even more from my businesses.

  • @tatianastarcic

    @tatianastarcic

    29 күн бұрын

    How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?

  • @Aaronduckstein49

    @Aaronduckstein49

    29 күн бұрын

    Tenley Megan Amerson is the coach that guides me, you probably might have come across her before I found her through a Newsweek report. She's quite known in her field, look-her up.

  • @monicavazquez280

    @monicavazquez280

    26 күн бұрын

    I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an email shortly.

  • @user-qk9ro8rp8t
    @user-qk9ro8rp8t8 күн бұрын

    Amazing video, A friend of mine referred me to a financial adviser sometime ago and we got to talking about investment and money. I started investing with $150k and in the first 2 months, my portfolio was reading $274,800. Crazy right!, I decided to reinvest my profit and get more interesting. For over a year we have been working together making consistent profit just bought my second home 2 weeks ago and care for my family.

  • @Lourd-Bab

    @Lourd-Bab

    8 күн бұрын

    Hi. I’ve been forced to find additional sources of income as I got retrenched. I barely have time to continue trading and watch my investments since I had my second child. Do you think I should take a break for a while from the market and focus on other things or return whenever I have free time or is it a continuous process? Thanks

  • @user-qk9ro8rp8t

    @user-qk9ro8rp8t

    8 күн бұрын

    @@Lourd-Bab However, if you do not have access to a professional like JUDITH ANN PEACE, quitting your job to focus on trading may not be the best approach. It is important to consider all options and seek guidance from reliable sources before making any major decisions. Consulting with an AI or using automated trading systems can also be helpful in managing investments while balancing other commitments

  • @Lourd-Bab

    @Lourd-Bab

    8 күн бұрын

    @@user-qk9ro8rp8t Oh please I’d love that. Thanks!

  • @user-qk9ro8rp8t

    @user-qk9ro8rp8t

    8 күн бұрын

    @@Lourd-Bab Judith Ann peace is her name

  • @user-qk9ro8rp8t

    @user-qk9ro8rp8t

    8 күн бұрын

    Lookup with her name on the webpage.

  • @AeonMusicRecord
    @AeonMusicRecord6 күн бұрын

    This is actually ancient Indian knowledge said in modern way. Jai Bharat!!!

  • @TheFinancialEconomics

    @TheFinancialEconomics

    6 күн бұрын

    Jai Hind!

  • @ElkeHoffman233
    @ElkeHoffman23311 күн бұрын

    Big ups and big love for the awesome daily content. Because inflation devalues your savings, it compels everyone to be an investor. Meaning you need to preoccupy yourself or offload your time/energy to the study of investment opportunities both of which are very costly. Thanks to Walter James Henry for showing me the appropriate way to get into bitcoin investing and trading with his trade signal and investing guidelines. Investing and trading are more than just having TA skills. There is a big component of discipline and emotional maturity, that one has to work on! Time in the market vs. timing the market. If you keep that mentality as an investor, you will stay calm during the storm! Within some months I was making a lot more money and have continued on that same path with Walter James Henry>

  • @ElkeHoffman233

    @ElkeHoffman233

    11 күн бұрын

    he's mostly on Telegrams, using the user.

  • @ElkeHoffman233

    @ElkeHoffman233

    11 күн бұрын

    @Gainwithwalter7

  • @Luissierra12373

    @Luissierra12373

    11 күн бұрын

    Henrys prowess as a trader shines through meticulous analysis, strategic decision-making, and a remarkable ability to navigate market fluctuations with precision and confidence.

  • @Layanalisa

    @Layanalisa

    11 күн бұрын

    Walter James Henry . understanding of market indicators is impressive. he knows exactly when to enter and exit trades for maximum profit. his siignals are top notch

  • @Johnbottis

    @Johnbottis

    11 күн бұрын

    he's recognized as 'Mr Walter One of the finest portfolio managers in the field. he's widely recognized; you should take a look at his work.

  • @modernsoccer1860
    @modernsoccer186028 күн бұрын

    this is how I see it, invest moderately and get the finest things in life that makes you happy. You will age with good money invested and not regret your younger self or years.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    28 күн бұрын

    You won our Hearts ♥️

  • @Elly-gu5wn
    @Elly-gu5wn28 күн бұрын

    The parents is the key. Thats why the wealthy is always wealthy.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    28 күн бұрын

    Hmmmm Agreee

  • @luciferplays2019

    @luciferplays2019

    19 күн бұрын

    Totally! But i guess "dreams" are to actually blame. If each generation just focuses on the basics and lives happily it is worth it. In today's world we are pretty much forced-fed everything which we don't really need! And then we dream more n more n more. A never ending hunger and lust for 💵 and materialistic things.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    19 күн бұрын

    @@luciferplays2019 I can't agree more on this!! The real truth

  • @passdasalt
    @passdasalt14 күн бұрын

    The key is, don't be tempted to spend it. Life is hard. Most of us at some point pull those meager funds we've built up to pay for whatever emergency or fancy that comes up. I certainly did. But... Start saving early. Be disciplined. Just more advice from an old man. Take it or leave it. Even on a low income, wealth can be achieved.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    14 күн бұрын

    Thank you! Appreciate it.

  • @williamyejun8508
    @williamyejun850818 күн бұрын

    I have been a dividend focused investor for a long time. This does not mean I don't own growth stocks, I do. A well rounded portfolio should be a mixture of both categories. One way to minimize the anxiety out of stock market investing, is to make sure you keep a large cash cushion. I invest in the market, but never put all my money in market.

  • @alexyoung3126

    @alexyoung3126

    18 күн бұрын

    Dividends are dope. Personally, I sometimes use my dividends to buy other dividend and growth stocks for diversification instead of reinvesting in the same stock. To each their own methods though. The good thing is that you’re investing in the first place and that’s what’s important. Salute for the content!

  • @jameswood9772

    @jameswood9772

    18 күн бұрын

    I agree. Based on personal experience working with an investment advisor, I currently have $1m in a well-diversified portfolio that has experienced exponential growth. It's not only about having money to invest in stocks, but you also need to be knowledgeable, persistent, and have strong hands to back it up.

  • @johnlennon232

    @johnlennon232

    18 күн бұрын

    How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?.

  • @jameswood9772

    @jameswood9772

    18 күн бұрын

    Melissa Maureen Ward a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.

  • @johnlennon232

    @johnlennon232

    18 күн бұрын

    Thank you so much for your helpful tip! I was able to verify the person and book a call session with her. She seems very proficient and I'm really grateful for your guidance

  • @Prayukth
    @Prayukth16 күн бұрын

    The power of compounding with such powerful examples should be taught in schools..that will eliminate the "why am I learning this stuff question" that some have.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    15 күн бұрын

    Very True!!

  • @amitb5518

    @amitb5518

    3 күн бұрын

    But the ordinary person does not have 400 years for this kind of example. A typical person has 30-40 years at max of working life. Not saying compounding isn’t great, it certainly is. But this kind of example is not relatable to a human life.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    7 сағат бұрын

    Yes Amit, but it shows How powerful compounding can be. Right?

  • @rahuldwivedi4758
    @rahuldwivedi4758Ай бұрын

    The world doesn’t work like that. Firstly, which company would you have invested in 1600s? Secondly, considering most companies go bust in a few decades down the line, chances of losing singnificant portion (or probably all) of that invested amount would have been very high no matter how diversified you’d have been. Thirdly, if this 7% rule holds true, inflation growing with the same rate holds true as well so everyone would have been needing billions of dollars just to survive today. Lastly, what about gold prices? Wouldn’t they have gone infinite by now since that has been a form of currency since ages?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    It’s just an example of compounding & how it works

  • @chahem

    @chahem

    Ай бұрын

    Everyone knows this buddy

  • @UPAKHOSALA

    @UPAKHOSALA

    29 күн бұрын

    the example shouldn't be utopian or lie 😅😊​@@TheFinancialEconomics

  • @TheFinancialEconomics

    @TheFinancialEconomics

    18 күн бұрын

    Example is an example no discrimination here 😀

  • @kentsmith6918
    @kentsmith6918Ай бұрын

    I love his explanation - he's right - it's a very simple concept. But it's probably a little too boring for most people to get excited about. It takes a lot of discipline & patience, but it's astounding how much compound interest can grow one's investments.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Very true. Compounding is a game of laziness but in this fast phase era people want to do something or the other.

  • @senm6115
    @senm6115Ай бұрын

    Some crazies here saying there were no concept of shares in the 1600's. This is just figuratively speaking. Understand the concept is more important.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Exactly!!

  • @paulbo9033

    @paulbo9033

    Ай бұрын

    Yeah but this example is awful. Given the native Americans effectively had their land stolen and were subject to a genocide, this story is fist biting for even the least politically correct person. The best example I've heard of compounding is a grain of rice doubling for every square on a chess board until there is no more rice left in the entire kingdom. Only takes 64 doubles. You cannot get your head round it until you visualise it or do it yourself on a calculator.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@paulbo9033 That's a classic example.

  • @SeanJohns-ze8ie
    @SeanJohns-ze8ie17 күн бұрын

    Very informative video you have, I have been able to understand the messages you pass but there are some other challenges that may come about when taking some other risks

  • @cherylhills3227

    @cherylhills3227

    17 күн бұрын

    I don’t think anyone that has dedicated time,money and efforts to scale to new net worths in whatever field of investments hasn’t reach some of the challenges that you would face personally.

  • @cherylhills3227

    @cherylhills3227

    17 күн бұрын

    My brother has been able to help with such issues through a CFA he was able to link me up with. Since hiring my advisor? It’s been better handling such financial turmoil that may happen

  • @TheDuke792

    @TheDuke792

    17 күн бұрын

    Oh yeah! You can definitely say that, it does worry me a bit, but not as much as it would worry the average guy, my investment portfolio has survived a couple of recessions unscathed, been privileged to be guided under the stewardship of an extremely gifted investment manager by the name ERIC PAUL ELMAR

  • @JoshuaEdson22

    @JoshuaEdson22

    17 күн бұрын

    Sure.. Eric Paul Elmer has a really unique gift of being able to looking far ahead down the road to spot future investment portholes and possible major mishaps, so he helps me make the safest investments and also helps me hedge all my investments against possible future downturns

  • @RobertDamanii

    @RobertDamanii

    17 күн бұрын

    Ok… I’ve been able to do some research on the Web and I found his site, he has his license so that’s reassuring

  • @proudofodisha7094
    @proudofodisha7094Ай бұрын

    Big house, Expense car, iPhone, big fat wedding mein BIG amount spent karte ho & jab investment karne ko koi kehta hai life kab enjoy karenge kehte ho .....5 days marriage enjoy ke liye 10Lakh hai but investment ke liye nahi hai....yahi mentality MIDDLE CLASS & POOR people ko aur jyada down lee jata hai.....& RICH get Richer ..... Foreign country ke jaisa agar early 20s se koi income karna start kia & thoda save karke investment Kia to early 40s mein uske pass sufficient Paisa hoga early retirement & life enjoy ke liye..... REMEMBER average life expectancy in india is 65 now.....with medical development after 20year it will 75 age.....so from 45 age to 65age ......Good 20 yo 30 year for happily enjoyed ....... Young age mein thode paise se kya hi enjoy kar loge better to achieve big amount at age 40.....They life will happier

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Perfect 👌

  • @nkosanamsibi7182
    @nkosanamsibi7182Ай бұрын

    ❤ From South Africa

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    ❤️ from India

  • @basikgyaan2362
    @basikgyaan2362Ай бұрын

    Best of the best video thanks a lot

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    ❤️

  • @DatsNoiccee
    @DatsNoiccee21 күн бұрын

    Phenomenal video. Explains the relation between compound and time to anyone at any age!

  • @TheFinancialEconomics

    @TheFinancialEconomics

    21 күн бұрын

    We feel the same!!!! Thanks for watching 😇

  • @vornamenachname5589
    @vornamenachname55895 күн бұрын

    I could listen to to this guy the whole day.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    5 күн бұрын

    Same here.!

  • @AnandSingh-lk4vk
    @AnandSingh-lk4vkАй бұрын

    Thanks for the excellent information.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    You’re welcome Anand ❤️

  • @callmevenu
    @callmevenu28 күн бұрын

    Wonderful explanation, Compounding is very complex topic but not anymore after watching this 😀

  • @TheFinancialEconomics

    @TheFinancialEconomics

    28 күн бұрын

    Glad it was helpful ❤️

  • @zteaxon7787
    @zteaxon778720 күн бұрын

    But they pretend the stock market is a given return when it lost half its value in 2008. My GF had a stagnant investment for 3 years just now it made like 5% profit.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    20 күн бұрын

    Thats not good.

  • @thomasmachmeier4979
    @thomasmachmeier49799 сағат бұрын

    Two problems were not mentioned in the video: Inflation over 50 years and 7% per year. If you make 7% per year over 50 years you outperfrom 99.8% of all fund managers. -That is rediculous for an avg. investor. The inflation over 50 years is about 400%,- (3% per year). So if you take his example of 1 Millon Dollar in 50 Years, saving 1500 per year and 7 % every year it is only 250.000 Dollars from today on if he would start today - if you achieve 7% per year. Compounding is strong in a way but not below 10% per year, included inflation! So if you make 15% per year than you can get wealthy in 30 - 40 years. Everything else is saving your savings for someone else (also called non-consuming).

  • @TheFinancialEconomics

    @TheFinancialEconomics

    8 сағат бұрын

    Agreed Thomas But why he took 7% is to make the math simple like at 7% CAGR it double every 10 years, that’s only the reason.

  • @mx4073
    @mx407320 күн бұрын

    Yes but everyone who made that deal died and never saw the benefit. Compounding is amazing and you can compound to the moon but I do all my investing and compounding figures around my retirement age so I'm realistic and keep my figures revolving around my life expectancy.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    20 күн бұрын

    All the very best ❤️

  • @poornima5761
    @poornima5761Ай бұрын

    Well said sir time values for each one of them. 👍👍

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Exactly!!!

  • @dancingnachos3634
    @dancingnachos3634Ай бұрын

    Superb and simple explanation ❤ a lot of dim witted comments

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Yes his explanations are the best

  • @yudisoesanto9647
    @yudisoesanto9647Ай бұрын

    I input the 24 dollar @7% for 450 years into compounding calculator. It came up to only $27million.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Do it again 😝

  • @InvisageStudios

    @InvisageStudios

    Ай бұрын

    $400,784,761,018,165.40

  • @tauseefsatti6036

    @tauseefsatti6036

    Ай бұрын

    and you will not be there to enjoy your compounding.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@tauseefsatti6036 Dont wait till the end, enjoy & spend as time passes.

  • @mikeshshr
    @mikeshshr4 күн бұрын

    Inflation compounds the same way too so the value of money at that time will not be significant and also currencies collapse time and again so savings could be lost..

  • @TheFinancialEconomics

    @TheFinancialEconomics

    4 күн бұрын

    Agreed

  • @AbdulBasit-ne4od
    @AbdulBasit-ne4od20 күн бұрын

    Phenomenal video. Impressive

  • @TheFinancialEconomics

    @TheFinancialEconomics

    20 күн бұрын

    Thanks Abdul!!

  • @dr.premlata674
    @dr.premlata67423 күн бұрын

    Thanks for this video

  • @TheFinancialEconomics

    @TheFinancialEconomics

    23 күн бұрын

    You are welcome Dr. 😇

  • @ImpulseToAdrenaline
    @ImpulseToAdrenaline15 күн бұрын

    Dude just changed my thinking in life. - Thanks.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    15 күн бұрын

    Good Luck for your new Life!!! ❤

  • @RRYadav-rj3pz
    @RRYadav-rj3pzАй бұрын

    Very Nice Video.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Thank you 🙏🏼

  • @R_o-c_k_s_t_a_r
    @R_o-c_k_s_t_a_r28 күн бұрын

    ❤Please add inflation in calculation.❤

  • @user-vh1ls2xr4u
    @user-vh1ls2xr4uАй бұрын

    What ‘suggested’ stock should one buy for a child ISA .. ftse world + sp500??

  • @bhavankumar4974
    @bhavankumar497427 күн бұрын

    In 1990 no one talked of compounding or long term There is no organised thing for compounding like today ( evey one say if we invest in titan or Infosys they are now multi baggers out thousands of listed stock who knows which grows and which will be like anil Ambani stocks )

  • @TheFinancialEconomics

    @TheFinancialEconomics

    26 күн бұрын

    True sir

  • @RajaRam-lb5gz
    @RajaRam-lb5gzАй бұрын

    What’s the point of making millions of money at old age of 60 or more if you don’t have the health or time to enjoy it ? There should be a balance you have to maintain of spending your money and enjoying your young life…. If you are saving the money for your future generations, yes, then definitely you can see this long compounding magic to work but it will not work for you.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Valid point Raja Ram ji

  • @hakimlukka5511

    @hakimlukka5511

    Ай бұрын

    Then maintain your health also

  • @modernsoccer1860

    @modernsoccer1860

    28 күн бұрын

    ​@@hakimlukka5511 this is how I see it, invest moderately and get the finest things in life that makes you happy. You will age with good money invested and not regret your younger self or years.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@hakimlukka5511 Thats the secret sauce !

  • @tomf9292
    @tomf9292Ай бұрын

    It’s sad that there’s only a couple thousand views but all these idiot “influencers “ get millions of views on BS. Then all these people complain they have no money. Sad what we teach our children in this country.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Thank so much and very true!

  • @haris1328

    @haris1328

    Ай бұрын

    Mr Monish has a big holding in India in a company named Rain Industries, which has been an underpoformer since many years now

  • @malkov0001

    @malkov0001

    29 күн бұрын

    Only 5% of the population will be really rich. That's why there are few people watching stuff like this.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@malkov0001 People want to be Rich but don't want to know 'HOW'

  • @TheFinancialEconomics

    @TheFinancialEconomics

    23 күн бұрын

    @@LegendScroller You are truly a legend!! Thank you!!

  • @lensleader
    @lensleader6 күн бұрын

    Compound interest is hope

  • @TheFinancialEconomics

    @TheFinancialEconomics

    6 күн бұрын

    Haha no doubt 😉

  • @Mercury2wo
    @Mercury2wo15 күн бұрын

    Yeah, cos that’s how real investing and real life works - it grows at 7% a year and you never touch the money for 50 years

  • @TheFinancialEconomics

    @TheFinancialEconomics

    15 күн бұрын

    Real Investing sounds tough!😶

  • @mikep4869
    @mikep486923 күн бұрын

    This is a concept of personal finance that should be taught at all levels of education.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    22 күн бұрын

    Exactly 👍🏻

  • @RPS-iw4ci
    @RPS-iw4ciАй бұрын

    Bhai utni compounding kro jitna uske maje lene ke liye Zinda raho....amar nhi hai insaan..

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Khahani yo may thoda compounding ka kaya maza 😜

  • @yabezyoshua1513
    @yabezyoshua1513Ай бұрын

    Excellent information for compounding

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    True that 😇

  • @samonaro65
    @samonaro65Ай бұрын

    It's too easy and way too hard to commit to DCA into the market (even small amounts) early and reach $1mil in 30yrs...the later you delay the later that $1mil moves out. Everyone wants a far easier track

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Early the better

  • @250089
    @250089Ай бұрын

    Also take account effects of inflation

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Stocks beat the inflation with ease 😉

  • @RolfStumpfRailMedia

    @RolfStumpfRailMedia

    Ай бұрын

    You need more than 7% to stay ahead of money depreciation nowadays. Inflation is much higher than we're told. Finding the right compounders helps​@@TheFinancialEconomics

  • @TheFinancialEconomics

    @TheFinancialEconomics

    18 күн бұрын

    Yup

  • @ElixirEcho
    @ElixirEchoАй бұрын

    The problem is, I don't want to be rich when im old, I want it now.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    There’s nothing wrong in spending money on yourself while you are earning it but it’s also important for you to save and invest enough to increase your standard of living as years pass 😇

  • @emunahbenuyah2853

    @emunahbenuyah2853

    Ай бұрын

    You see, if you don't come from wealth, it is a big sacrifice you embarking on the wealth journey because it's not only for you but for your coming generations, that's why it takes alot of time,patience, hard work and determination. But if you want it quick then you are planning to enjoy it alone in your own time and then leave your coming generation the choice of working their own path to their financial freedom.❤

  • @balesh_chemagination3359

    @balesh_chemagination3359

    Ай бұрын

    Rule number 1:- Wealth is made, but not for the person who is making it alone..otherwise it can't be made..

  • @MrColonelbbc

    @MrColonelbbc

    29 күн бұрын

    The problem is… I don’t want to be old and not rich…

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@emunahbenuyah2853 Fact!

  • @pulakchatterjee7586
    @pulakchatterjee7586Ай бұрын

    Tell me the compounding effect of 2 companies which u hold. 1 ) rain Industries 2) edelweiss Finance 😂

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    😅

  • @jigneshsavaliya4703
    @jigneshsavaliya4703Ай бұрын

    Amount of inflation will lead to the same position that you started.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    It’s was an example for compounding & how it works

  • @HugoZierth-jj2pd

    @HugoZierth-jj2pd

    Ай бұрын

    And taxes. But it's a great vídeo. Thanks for.sharing.

  • @TheRPatel1

    @TheRPatel1

    Ай бұрын

    Look like his comment hurt your sentiments. Jignes made valid point

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@HugoZierth-jj2pd Thank you!

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@TheRPatel1 Inflation is a negative aspect of Investing, rather than focusing on inflation why can't we focus on getting returns that will beat the inflation with a big margin.

  • @luciferplays2019
    @luciferplays201919 күн бұрын

    But those ppl are not there to enjoy 24 trillion!!! Jiyo ki har din aakhri ho! Don't over-invest in future and forget the present.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    19 күн бұрын

    Noted ❤️

  • @PressPlayAllDay4life
    @PressPlayAllDay4life3 күн бұрын

    I think the problem people have with compounding is that it takes so long. I have to wait 10 years for my $50 to double when I just have to work a couple of hours to just make another 50

  • @TheFinancialEconomics

    @TheFinancialEconomics

    3 күн бұрын

    That's a valid point. Additionally, while compounding benefits significantly from time, the overall value of investments plays a crucial role in its impact. For example, doubling $100k to $200k has a much greater impact than doubling $1k to $2k.

  • @PressPlayAllDay4life

    @PressPlayAllDay4life

    3 күн бұрын

    @@TheFinancialEconomics what ppl are looking for who make 30-40-50k a year are ways to turn their 100 into 200 like in a month because that could help them way more

  • @TheFinancialEconomics

    @TheFinancialEconomics

    2 күн бұрын

    Could be ppl have made it a race

  • @PressPlayAllDay4life

    @PressPlayAllDay4life

    2 күн бұрын

    @@TheFinancialEconomics average life expectancy is 82 you don’t want to enjoy your life when there’s only 10 years left if it

  • @TheFinancialEconomics

    @TheFinancialEconomics

    7 сағат бұрын

    Hmmm

  • @ornellabetoe6093
    @ornellabetoe6093Ай бұрын

    J'aime beaucoup votre chaîne.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    😇😇😇

  • @mominkashif2054
    @mominkashif20548 күн бұрын

    Holding something for hundreds of years is fallacious because the generations are going to change and you will not be there to enjoy the benefits of compounding. In my opinion each generation should enjoy their lives in their means and leave some for the coming generations.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    8 күн бұрын

    Agreed!!!

  • @javadchohan
    @javadchohan8 күн бұрын

    My runway is short, am 54 this year, do you think I would be able to compound sufficient in time before 68 ?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    8 күн бұрын

    Yes Javed you can, 15 years is good enough runway start right away!! Good Luck!

  • @osarma
    @osarmaАй бұрын

    What is the value of the Land they have SOLD as on todays date

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    A few 100 billions

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    A few $ 100 billions

  • @EcoMoney.
    @EcoMoney.20 күн бұрын

    At 2:35 mins when he says 100 yrs period, u take 2 to the power 10 what does that mean? Does ‘2’ means 2 times ( I.e doubling the money) and ‘10’ means 10 yrs in context of the anecdote he is explaining? But then where does 100 Yr fit into the equation? Similarly at 8:20 mins what is meant by ‘2 to the power 5’ for 50 Yr period if money doubles every 10 yrs?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    19 күн бұрын

    1. Since it doubles every 10 years for 100 years it will double 10 times, so 2^10 is 1024 times ( to make math simple he excluded 24 and kept 1000 only) 1000 times your initial investment. 2. Again here 2^5 here is 32 times, 32 times your initial investment.

  • @EcoMoney.

    @EcoMoney.

    19 күн бұрын

    @@TheFinancialEconomics Thanks a lot. I figured it out after thinking a bit post putting the question. Its quite profund and thanks for sharing this video

  • @TheFinancialEconomics

    @TheFinancialEconomics

    18 күн бұрын

    That’s great 😀 Thanks for watching!!

  • @artixunited
    @artixunitedАй бұрын

    Only question is are you sure you are going to live till you are 68 or 69? What grantees do you have. I understand you need to save, but his logic is not very good because life is a bubble. All you can do is invest and hope for the best. That is the only strategy. Don't think about or calculate the outcome. Just try to do it.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Earn and invest whether one will live till 68 or 69, today’s job is Earn, Save, Invest & Spend

  • @andrewereynolds5840
    @andrewereynolds584029 күн бұрын

    💎 Constellation ☀️ Energy Corporation (CEG) 💎

  • @prnkrthk18
    @prnkrthk1825 күн бұрын

    He said 2025 is 9 years from now! Now it 9 months away 😂

  • @TheFinancialEconomics

    @TheFinancialEconomics

    25 күн бұрын

    It was recorded in 2015 😇

  • @carolmaz8675
    @carolmaz867527 күн бұрын

    No librarian in the U.K. is making 40,50 000 at age 18

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    In Euros?

  • @sidds2004
    @sidds200419 күн бұрын

    No wonder that the power of compounding is the 8th wonder. But did you take the NOTIONAL TAX to be paid at the end of each financial year.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    19 күн бұрын

    1. No income no tax 2. High income high tax I would be happy to be in the 2nd situation

  • @AadityaBhatta
    @AadityaBhatta26 күн бұрын

    What about an over 6% inflation rate, which halves the value of money every 12 years.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    26 күн бұрын

    Beat it.

  • @rawtrader8841

    @rawtrader8841

    23 күн бұрын

    More inflation more money printing exsess money printed will surely be diverted to market and upcoming asset class That's the best and only way to fight inflation

  • @TheFinancialEconomics

    @TheFinancialEconomics

    18 күн бұрын

    Yup

  • @Musicalppsingh
    @Musicalppsingh12 күн бұрын

    Om namah shivay har har Mahadev Jai hind vande matram ❤️❤️🙏🙏

  • @TheFinancialEconomics

    @TheFinancialEconomics

    12 күн бұрын

    Jai Hind!

  • @shaduwy
    @shaduwy10 күн бұрын

    Great video but where can I get information about investments with 7% returns

  • @TheFinancialEconomics

    @TheFinancialEconomics

    10 күн бұрын

    Which country you are from?

  • @abrahamvarghesekadavil8510
    @abrahamvarghesekadavil851025 күн бұрын

    😄wonderful

  • @TheFinancialEconomics

    @TheFinancialEconomics

    25 күн бұрын

    Yes compounding is wonderful 😍

  • @hugoviegas1292
    @hugoviegas129228 күн бұрын

    Explain that math in each 10 years the money double. 5000 after 10 years 10000 28 years More 10 years 20000 38 More 10 years 40000 48 More 10 years 80000 58 More 10 years 160.000 68 For 5 million i gess would take a little more time

  • @TheFinancialEconomics

    @TheFinancialEconomics

    28 күн бұрын

    Double it every 5 years at 15% CAGR

  • @hugoviegas1292

    @hugoviegas1292

    28 күн бұрын

    @@TheFinancialEconomics you are right, too much optimistic from them. But numbers are correct

  • @TheFinancialEconomics

    @TheFinancialEconomics

    27 күн бұрын

    @@hugoviegas1292 Yup!!

  • @eatsleeprepeat9422
    @eatsleeprepeat9422Ай бұрын

    But 10000 dollar at 30 worth more than 10 Million dollar at the age of 68 ?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Yes

  • @9-5guy33
    @9-5guy3320 күн бұрын

    Eistein never said it though...

  • @TheFinancialEconomics

    @TheFinancialEconomics

    20 күн бұрын

    He did

  • @garrydye2394
    @garrydye239413 сағат бұрын

    Its actually not a million dollars. It is $802,296 after saving 10% of his salary plus adding 2% a year BUT when you take into account 3.5% in yearly inflation....that money only equals $145,629 in todays money, meaning he is still working a second job until the day he dies.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    7 сағат бұрын

    Agreed 👍🏻 But If he had not invested, his money would have completely lost its value due to inflation. Therefore, $145,629 is much better than nothing. Right?

  • @RakeshSharma-zd1be
    @RakeshSharma-zd1be24 күн бұрын

    What about inflation

  • @TheFinancialEconomics

    @TheFinancialEconomics

    24 күн бұрын

    Equity is the only asset class which can beat inflation with a high margin

  • @sachinsingh-eu7qq
    @sachinsingh-eu7qq12 күн бұрын

    What about inflation?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    12 күн бұрын

    Only Stocks can beat Inflation by a big Margin

  • @boywonder6659
    @boywonder665916 күн бұрын

    The thing is at 68 your knackered and can’t enjoy the money.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    15 күн бұрын

    Earn, Save & Invest this is the process and spend as you progress in this process, you need not wait until you turn 68.

  • @SlackersIndustry
    @SlackersIndustry24 күн бұрын

    Sounds great but what if the indians had build a trading post on that land and grown it over the years who knows how much it would have been worth not only that many of the descendents could have made a good living for many generations instead of just waiting fo centuries to cash in the 24 trillion or whatever it was

  • @TheFinancialEconomics

    @TheFinancialEconomics

    24 күн бұрын

    Valid point but investing seems to be easy money than setting up a business and grow it

  • @adespade119
    @adespade1195 күн бұрын

    The powers that be don't want you knowing this.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    5 күн бұрын

    True!

  • @oswaldsoares2174
    @oswaldsoares217411 күн бұрын

    Sound is very bad

  • @TheFinancialEconomics

    @TheFinancialEconomics

    11 күн бұрын

    Really sorry about that.

  • @knowledgeseeker5499
    @knowledgeseeker549929 күн бұрын

    Fanatics video to educate people about value of investment and not touching until fully mature

  • @TheFinancialEconomics

    @TheFinancialEconomics

    29 күн бұрын

    Thank You! Mohnish Pabrai is the best 😇

  • @quokkapirquish6825
    @quokkapirquish682528 күн бұрын

    Warren Buffett still alive in 2024! He sure has lived a loooooong life

  • @TheFinancialEconomics

    @TheFinancialEconomics

    28 күн бұрын

    Yes he has 😇

  • @religionofpeace782

    @religionofpeace782

    22 күн бұрын

    His partner Charlie too lived a looooooooonggggg life of 99 years.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    21 күн бұрын

    @@religionofpeace782 Yup!!

  • @dariodolcetti6256
    @dariodolcetti625617 күн бұрын

    All Right Perfect so i just Need to manage and ket manage a Family fund for 500 years then my ancestors are gonna be the Next Rothschilds 😁

  • @TheFinancialEconomics

    @TheFinancialEconomics

    17 күн бұрын

    😅😅😅

  • @aruntam1
    @aruntam1Ай бұрын

    Bro forgot that inflation is also compounding..

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Someone forgot only equity can beat the inflation by a big margin 😉

  • @rawtrader8841

    @rawtrader8841

    23 күн бұрын

    💀

  • @aamirabdullah2503
    @aamirabdullah250311 күн бұрын

    Q: would you like to have 1 million dollar in your account today or you’d like to have a penny which doubles every single day?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    11 күн бұрын

    Penny which doubles everyday

  • @Whatsmyview-zp5oq

    @Whatsmyview-zp5oq

    8 күн бұрын

    1 million dollar then I will invest it at the rate of 7%

  • @chinchowpowpook
    @chinchowpowpookАй бұрын

    With the compounding knowledge Why is he still not rich yet giving this speech?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    His net-worth is $ 2 billion

  • @Zaen89
    @Zaen8925 күн бұрын

    Im 34 am I too late to get on board?🤔

  • @TheFinancialEconomics

    @TheFinancialEconomics

    25 күн бұрын

    Nope, start your journey right away!

  • @stevemcneal7069
    @stevemcneal70694 күн бұрын

    Dude stole Dr evil’s outfit

  • @TheFinancialEconomics

    @TheFinancialEconomics

    4 күн бұрын

    😂😂😂

  • @ocreator12345

    @ocreator12345

    Күн бұрын

    Lmao

  • @sushilsharma5577
    @sushilsharma5577Ай бұрын

    They talk a lot but never show their pnl

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    You are just 1 click away from knowing his net worth 😀 and they are not fno traders to present their pnl to attract clients

  • @sushilsharma5577

    @sushilsharma5577

    Ай бұрын

    @@TheFinancialEconomics yes but you never know whether they bought or sold basis the philosophy they sold to public..like motilal oswal would say buy right and sit tight on good stocks but you should see their account break up to know mid and small caps

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Agreed 👍

  • @dylanlau8858
    @dylanlau885822 күн бұрын

    50 year old now...is it late to start?

  • @TheFinancialEconomics

    @TheFinancialEconomics

    22 күн бұрын

    Not at all Dylan!! You have plenty decades of compounding left. Cheers 🥂

  • @Techguidein

    @Techguidein

    17 күн бұрын

    Never it's late. You can start for your self as well as your future generation.

  • @naveenbangalore362
    @naveenbangalore36211 күн бұрын

    such a imaginary XXXX.... not in real world lot of ifs and buts 1. What happens when there are years like recessions and depression decade when there is no 7% yield? 2. There is something like replacement theory? say you have one single house,(aka manhattan land) for example instead of living you sell and it doesnt mean you can or have opportunity to invest 100% proceeds , & you may need a portion of sometimes to buy a cheaper place or alternative arrangement? same thing people say if some one started a sip of 5k per month in 1995 you would have a crore etc? Just a gk, these are when done in ideal conditions, there are lot of other things & few which off-the cuff. 1. Hidden costs 2.Tax 3. un recoverable costs 4.Cost of replacement

  • @TheFinancialEconomics

    @TheFinancialEconomics

    11 күн бұрын

    Just an example to show the power of Compounding

  • @naveenbangalore362

    @naveenbangalore362

    10 күн бұрын

    @@TheFinancialEconomics In real world the power of compounding will not have linear exponential curve, lot of ups and downs, so more stress should be given on patience, if compounding is 8th wonder, patience is 9th wonder and investor should brace for many ups and downs & manage volatility year on year it would not grow same at fixed rate, however it just average out at end with up-down growth. So main thing in real world is patience and time of exit... there may be phases when market is continuously down for couple of years and it might have reduce overall average so that should kept in mind

  • @TheFinancialEconomics

    @TheFinancialEconomics

    9 күн бұрын

    He talks about Patience here in this video: kzread.info/dash/bejne/g6usl8eMfa3Scbg.htmlsi=R1BF-5DZU1yoEW2U

  • @TheFinancialEconomics

    @TheFinancialEconomics

    9 күн бұрын

    Agreed 👍🏻

  • @ssamirpanda1
    @ssamirpanda122 күн бұрын

    In your name lot of whasapp groups !!! Mostly fake in think .. u must do something about it ..

  • @TheFinancialEconomics

    @TheFinancialEconomics

    22 күн бұрын

    In the name of Mohnish Pabrai?

  • @ssamirpanda1

    @ssamirpanda1

    19 күн бұрын

    @@TheFinancialEconomics yes

  • @deepeshsao1008
    @deepeshsao1008Ай бұрын

    I guess it didn't happen in Rain Industries, though. 😕

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    He is in profit buy price was below 50

  • @deepeshsao1008

    @deepeshsao1008

    Ай бұрын

    @TheFinancialEconomics My point was on the reference that money did not double for him in Rain Ind. He first bought Rain in 2015 at 30 Rs. and sold in 2023 Dec at 150. So if money had to double in 2 years as mentioned, it should have been at 240 bucks at least. 30,60,120,240.

  • @deepeshsao1008

    @deepeshsao1008

    Ай бұрын

    @@TheFinancialEconomics Apne comment pe hi like maar rahe ho 🤣🤣🤣

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    @@deepeshsao1008 Consider his entire portfolio for such calculations

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    @@deepeshsao1008 Kya kare pyar jo karte hai apne aap se😁

  • @shibasahoo3807
    @shibasahoo38076 күн бұрын

    Useless 🔊 Audio quality. You listen for yourself. Nonsense

  • @TheFinancialEconomics

    @TheFinancialEconomics

    6 күн бұрын

    Sure

  • @golgol5625
    @golgol5625Ай бұрын

    $24 in 1600...+7% in 2024 is 69,013,329,515,021. 😂😂 69

  • @TheFinancialEconomics

    @TheFinancialEconomics

    28 күн бұрын

    Out of this World

  • @bala247online3
    @bala247online318 күн бұрын

    Please talk in indian accent

  • @nitsir125
    @nitsir12524 күн бұрын

    4 million dollar at 68 age nothing

  • @TheFinancialEconomics

    @TheFinancialEconomics

    24 күн бұрын

    Make it 4 billion 😎

  • @eajinabi
    @eajinabiАй бұрын

    I can't wait when I am 96 and incapable of walking to then enjoy my money

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    As you grow keep enjoying,! Plan a target amount and stick to it, once achieved it’s your life to live!

  • @marvelouscampaign

    @marvelouscampaign

    Ай бұрын

    You can enjoy your money way before 60

  • @eajinabi

    @eajinabi

    Ай бұрын

    This is a generic reply

  • @eajinabi

    @eajinabi

    Ай бұрын

    @@TheFinancialEconomics To promote such things, you need to disclose the 7% ROI every year nonsense. Past returns does not guarantee future gains.

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    ​@@eajinabi If the stock market isn't going up, it could mean the economy is having trouble. And if the economy is having trouble, it might affect whether you keep your job. Stocks are not meant to calculate returns every year give longer time to yield positive returns.

  • @szabolcsnagy7638
    @szabolcsnagy763816 күн бұрын

    Tittiri tittiri!! Teach this to your youngsters in your home country so they will stay and WE can get our culture and jobs BACK!!!!!!!

  • @TheFinancialEconomics

    @TheFinancialEconomics

    16 күн бұрын

    🥲🥲🥲

  • @hindubyheart

    @hindubyheart

    12 күн бұрын

    Are you native American???

  • @TheFinancialEconomics

    @TheFinancialEconomics

    9 күн бұрын

    😂😂🤣

  • @samir00011
    @samir00011Ай бұрын

    Baseless story......... It's Nonpurpos mony..... Just a paper

  • @TheFinancialEconomics

    @TheFinancialEconomics

    Ай бұрын

    Could be

  • @pralaysangma8019
    @pralaysangma8019Күн бұрын

    Look who is talking?? Copy cat who borrows everything😅😅

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