MIRACLE OF POWER OF COMPOUNDING IN WEALTH CREATION

 

 

THE POWER OF COMPOUNDING IS THE MOST POWERFUL FORCE IN THE WORLD

THE POWER OF COMPOUNDING IS THE MOST IMPORTANT OF ALL WONDERS OF THE WORLD

THE BEST TIME TO INVEST IS FROM AGE ZERO, AND THE SECOND BEST TIME IS NOW.

"...work like you don't need the money..."

"Let money work for you."


By

DILIP RAY

 

 


 The Power of Compounding (POC): Affects many aspects of life:

1. Wealth creation

2. Disease: spread & prevention

3. Population dynamics, politics, and the future of the world

This book will be on wealth creation.

 

Copyright:

2009 by Dilip Ray. All rights reserved
No part of this publication may be reproduced, stored or transmitted by any means and form, photocopying or scanning except author’s permission.

Disclaimer:

The author has used the best efforts in preparation of this book and makes no guarantee with respect to the accuracy of the contents of this book,
There is no advice. Facts presented and strategies are made and may not be entirely correct and suitable for the readers. The reader should seek appropriate professional advice before making any form of investment.
Past performances are no guarantee of future performances.
The author will not be liable to for any loss of profit or any kind off damages.

Acknowledgement:

I greatly appreciate the efforts made by Ms. Ashley Carlyle in preparation of this book including editing.

POWER OF COMPOUNDING (POC)

&

WEALTH CREATION

 

 

INDEX

Page

Introduction 5

History 6 

Definition 6

Mechanism POC & examples 7

Difference between simple and compound interest 9

Calculation by rule of 72 11

Starting time of investment & POC

starting early vs. late? 13

Rate of Interest & POC 32

POC also Works reverse Way: Paying off Home

Mortgage Early 38

Procrastination 45

College & University Endowments 48

Creating wealth for children 54

Paying the Annual Tuition to Attend Private School

vs.

Saving Money by Attending Public School for Free

& Investing the Money Saved 55

Earning an Undergraduate or Postgraduate Degree 60

vs.

Getting a Job and Making Investments

Real life & hypothetical examples 89

Effect of dividends on growth of Investment 143

Can POC fail? 145

Summary

Conclusion 151