February 29, 2024 • 14 mins
Imagine unlocking the secret to building your wealth with the mere whisper of compound interest—yes, it's that powerful. In our latest episode, your trusty guide Derek unveils the astonishing effects of starting your investment journey early. With tales of average Joes and Janes who've reached the millionaire status through smart, timely investments, this episode isn't just a lesson; it's a treasure map to your financial future. We dissect the ins and outs of compounding gains, tackle the ever-present specter of inflation, and lay out the critical steps to take now for a retirement that's less about penny-pinching and more about pleasure.
But wealth isn't just about what you earn—it's about what you keep, and how you grow it. Strap in as we chart a course through the essentials of crafting clear financial goals and sticking to a budget without feeling strapped. We discuss the lifesaver that is an emergency fund, and hand out strategies to manage debt like a pro. Plus, we reveal the secret weapon against inflation: a well-diversified portfolio. By the end of this episode, armed with the knowledge of compounding interest's might and a blueprint for long-term prosperity, you'll be ready to take the reins on your journey to abundant wealth.
But wealth isn't just about what you earn—it's about what you keep, and how you grow it. Strap in as we chart a course through the essentials of crafting clear financial goals and sticking to a budget without feeling strapped. We discuss the lifesaver that is an emergency fund, and hand out strategies to manage debt like a pro. Plus, we reveal the secret weapon against inflation: a well-diversified portfolio. By the end of this episode, armed with the knowledge of compounding interest's might and a blueprint for long-term prosperity, you'll be ready to take the reins on your journey to abundant wealth.
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
Hey wealth builders, derek here and welcome back to
the Wealth Whisper podcastQuestion would you rather work
for 40 years or let your moneywork hard for you for a few
decades?
If you choose option two,you're in the right place.
Today we're cracking the codeon the time value of money, why
starting to invest early is themost brilliant financial move
you can make.
(00:20):
We'll talk compound interest,overcoming those I can't start
yet excuses and hear from peoplewho became millionaires simply
because they started young.
Get ready to change yourfinancial future.
This episode begins now thepower of compound interest.
You should start investing nowto take advantage of the power
of compound interest.
Compound interest is a conceptthat allows your investments to
(00:42):
grow exponentially over time.
When you invest your money, youearn interest not only on your
initial investment, but also onthe interest that accumulates
over time.
The benefits of compoundingcan't be overstated.
By reinvesting the interest youearn, your investment grows at
an accelerating rate.
This is because your investmentgenerates more interest,
(01:02):
generating even more interestOver time.
This compounding effect canlead to significant wealth
accumulation.
The exponential growth ofinvestments is a result of the
compounding process.
The longer you stay invested,the more time your money has to
compound and grow.
This is why it's crucial tostart investing as early as
possible.
Even small amounts of moneyinvested consistently over a
(01:25):
long period can yieldsubstantial returns.
To illustrate the power ofcompound interest, let's
consider an example.
Suppose you invest $1,000 at anannual interest rate of 5%.
After one year, your investmentwould grow to $1,050.
If you reinvest the interestearned the following year, you'd
earn interest not only on yourinitial investment, but also on
(01:48):
the $1.50 earned in the firstyear.
Over time, this compoundingeffect can lead to significant
wealth accumulation.
Understanding the time value ofmoney, investing early and
understanding the time value ofmoney allows for the potential
accumulation of significantwealth over time.
By grasping the concept of thetime value of money, you can
(02:08):
make informed financialdecisions and maximize your
returns.
Here are four key points toconsider.
One asterisk asteriskcompounding asterisk asterisk.
The time value of money isclosely tied to the power of
compounding.
When you invest early, yourmoney has more time to grow
through compounding.
This means that you earn notonly returns on your initial
(02:30):
investment, but also on thereturns themselves.
Over time, this compoundingeffect can lead to exponential
growth in your wealth.
Two asterisk asterisk inflationasterisk asterisk.
Understanding the time value ofmoney also helps you account
for inflation.
Inflation erodes the purchasingpower of money over time, which
(02:50):
means that the value of adollar today will be less in the
future.
By investing early and earninga return that outpaces inflation
, you can protect the value ofyour money and maintain your
purchasing power.
Three asterisk asteriskopportunity cost asterisk
asterisk Time is essential wheninvesting.
(03:10):
Delaying investing means takingadvantage of potential returns.
The opportunity cost of notinvesting early can be
significant.
By starting early, you can takeadvantage of the power of
compounding and give yourinvestments more time to grow.
Four asterisk asterisk riskmanagement asterisk asterisk.
Investing early allows you totake a long-term investment
approach.
This can help mitigate theimpact of short-term market
(03:32):
fluctuations and reduce youroverall investment risk.
You can ride out marketvolatility and achieve more
stable returns by spreading yourinvestments over a longer time
horizon.
Why starting early matters?
Starting early matters becauseit allows you to take advantage
of the power of compoundinterest.
Investing early gives yourmoney more time to grow and
(03:53):
accumulate wealth over the longterm.
This means that even smallcontributions can significantly
impact your financial future.
Compound interest benefits Takeadvantage of the incredible
benefits of compound interest bymaximizing your investments
over time.
Compound interest allows yourmoney to grow exponentially by
(04:14):
earning interest on both yourinitial investment and the
accumulated interest.
Here are four reasons whycompound interest is so powerful
.
One maximizing returns.
You can significantly increaseyour overall returns by
reinvesting the interest earned.
This compounding effect canhelp your investments grow at a
much faster rate compared tosimple interest.
Two beating inflation.
(04:36):
Compound interest helps youstay ahead of inflation.
As prices rise over time, thevalue of your money decreases.
However, by earning interest onyour investments, you can
offset the impact of inflationand preserve your purchasing
power.
Three time value of money.
Compound interest rewards thoseinvesting early.
The longer your money has togrow, the more substantial your
(04:59):
returns will be.
Time is your greatest ally whenit comes to building wealth.
Four wealth accumulation.
By harnessing the power ofcompound interest, you can
accumulate significant wealthover the long term.
I'd invest in and reinvest inyour earnings can provide
financial security and acomfortable retirement.
Long term wealth accumulation.
It would help if youconsistently contributed to your
(05:21):
investments over time tomaximize your chances of long
term wealth accumulation.
By adopting long terminvestment strategies and saving
early, you can benefit from thepower of compounding and secure
a brighter financial future.
One of the key benefits ofearly savings is the ability to
take advantage of the time valueof money.
This concept highlights thatcash today is worth more than
(05:44):
the same amount in the futuredue to its potential to earn
returns over time.
The benefits of investing inyour future.
Investing in your future offersnumerous benefits to set you up
for long term financialsecurity.
Starting early gives you theadvantage of time, allowing your
investments to grow through thepower of compound interest.
This means your money can workharder for you, accumulating
(06:07):
wealth over time and potentiallyproviding a comfortable
retirement or other financialgoals.
Long term financial securityMake a plan now to ensure your
long term financial security.
Planning for your financialfuture is crucial, especially
when achieving financialindependence and a comfortable
retirement.
Here are four key steps toconsider.
(06:27):
One start saving early.
The power of compound interestcan't be underestimated.
By saving and investing early,you give your money more time to
grow and benefit fromcompounding.
Two create a budget.
Understanding your income andexpenses is essential for
effective financial planning.
By creating a budget, you cantrack your spending, identify
(06:49):
areas where you can cut costsand allocate more towards
savings and investments.
3.
Diversify your investments Tomitigate risk.
It's essential to diversifyyour investment portfolio by
spreading your investmentsacross different asset classes,
such as stocks, bonds and realestate, you can reduce the
(07:10):
impact of market fluctuations.
4.
Regularly review and adjustyour plan.
Financial planning isn't aone-time task.
It's crucial to regularlyreview your financial plan,
assess your progress and makeadjustments as needed to stay on
track toward your long-termfinancial goals.
5.
Compound interest growth.
By starting early andconsistently contributing to
(07:32):
your investments, you can reapthe benefits of compound
interest growth and secure aprosperous future.
Maximizing compounding returnsis crucial for long-term
financial success.
Compound interest allows yourinvestments to grow
exponentially over time.
The earlier you start investing, the more time your money has
to compound and grow.
This means that even smallcontributions can become
(07:55):
significant sums over the longrun.
However, it's essential toconsider the impact of inflation
on compound interest growth.
Inflation erodes the purchasingpower of money over time,
reducing the actual value ofyour investment returns.
To combat this, it's essentialto choose investments that
outpace inflation and provide ahigher rate of return.
(08:16):
Maximizing returns with earlyinvestments.
You can significantly boostyour returns, with early
investments leading totremendous financial success in
the long run.
By taking advantage of thepower of compounding, you can
maximize the growth of yourinvestments over time.
Here are four key strategies tohelp you make the most of your
early investments.
1.
Start investing as soon aspossible.
(08:37):
The sooner you begin investing,the more time your money has to
grow.
Even small amounts investedearly on can accumulate and
compound into substantial wealthover time.
2.
Diversify your portfolio.
Spreading your investmentsacross different asset classes,
such as stocks, bonds and realestate, can help mitigate risks
and increase the potential forhigher returns.
(08:59):
Diversification is critical tomaximizing your overall
portfolio performance.
3.
Take advantage of tax-efficientinvestment accounts.
Utilize tax-advantaged accountslike individual retirement
accounts, iras oremployer-sponsored retirement
plans to minimize taxliabilities and maximize
investment returns.
These accounts offer taxbenefits that can significantly
(09:22):
enhance your long-term wealthaccumulation.
4.
Regularly review and adjustyour investment strategy.
Keep track of your investmentsand regularly assess their
performance.
Adjust your plan as needed toensure you're on track to meet
your financial goals.
Stay informed about markettrends and seek advice from
financial professionals to makeinformed investment decisions.
(09:44):
By implementing thesestrategies, you can position
yourself for long-term financialsuccess.
Investing early gives you theadvantage of time, a critical
factor in investment growth.
In the next section, we'lldiscuss the impact of time on
investment growth and whystarting early is so significant
.
The impact of time oninvestment growth.
(10:05):
Investing early andconsistently can significantly
impact the growth of yourinvestments over time.
Starting early can't beoverstated when it comes to
building wealth.
By starting early, you giveyour investments more time to
benefit from the power ofcompounding.
Compounding refers to earningreturns on your initial
investment and any previouslyearned returns.
(10:25):
Over time, this can lead toexponential growth in your
investment portfolio.
The effects of compounding aremost pronounced when you start
early and allow your investmentsto grow over a long period.
Let's look at an example toillustrate the point.
Suppose you start investing$1,000 monthly at 25 and
continue until you retire at 65.
(10:45):
Assuming an average annualreturn of 7%, your initial
investment of $40,000 would growto over $1.2 million by the
time you retire.
However, if you wait until age35 to start investing, your
final portfolio value would bearound $550,000, less than half
of what it could have been.
(11:05):
Setting yourself up forlong-term financial success.
To achieve long-term financialsuccess, it's crucial to
establish a solid foundation byimplementing intelligent
financial habits and making wisefinancial decisions.
Here are four key steps to setyourself up for long-term
financial success 1.
Setting financial goals.
(11:26):
Start by identifying yourfinancial goals, whether saving
for retirement, buying a houseor paying off debt.
Having clear goals will helpyou stay focused and motivated.
Please write down your goalsand break them into smaller,
achievable targets.
2.
Creating a budget A budget isessential for managing your
(11:46):
money effectively.
Track your income and expensesto understand where your money
is going.
Allocate funds for essentialexpenses, savings and
discretionary spending.
Please review and adjust yourbudget regularly to align with
your financial goals.
Three building an emergencyfund.
Life is unpredictable andhaving an emergency fund is
(12:08):
crucial to protect yourself fromunexpected expenses.
Aim to save three to six monthsliving expenses in a separate
account.
This fund will provide a safetynet and help you avoid going
into debt during challengingtimes.
Four managing debt wisely.
Debt can hinder your financialprogress, so it's essential to
manage it wisely.
Prioritize paying off highinterest debt first and consider
(12:31):
consolidating or refinancing tolower your interest rates.
Avoid taking on unnecessarydebt and develop a plan to
become debt-free.
By setting financial goals,creating a budget, building an
emergency fund and managing debtwisely, you can establish a
solid foundation for long-termfinancial success.
Let's explore how earlyinvestments can beat inflation
(12:53):
and enhance your financialfuture.
How early investments can beatinflation.
When it comes to beatinginflation, starting early with
your investments can make asignificant difference in
securing your financial future.
Beating inflation means thatthe returns on your investments
outpace the rate at which pricesof goods and services rise over
time.
Inflation erodes the purchasingpower of your money, so it's
(13:16):
crucial to find investmentstrategies that can generate
returns that exceed inflation.
One effective investmentstrategy to beat inflation is to
invest in a diversifiedportfolio of assets.
By spreading your investmentsacross different asset classes,
such as stocks, bonds, realestate and commodities, you can
mitigate the impact of inflationon your overall investment
(13:38):
returns.
Diversification helps youbenefit from the growth
potential of different assetclasses, while reducing the risk
of any one investmentnegatively impacting your
overall portfolio.
Another strategy to beatinflation is to invest in assets
that have historically shown astrong correlation with
inflation.
These assets include stocks ofcompanies and sectors that tend
(13:59):
to perform well duringinflationary periods, such as
consumer staples, utilities andnatural resources.
Investing in treasury inflationprotected securities TIPs can
provide a guaranteed return thatadjusts inflation.
Starting early with yourinvestments is crucial because
it allows you to take advantageof the power of compounding.
Compounding refers to earningreturns not only on your initial
(14:22):
investment, but also on thereturns generated by your
investment over time.
The longer your investment hasto compound, the more
significant the impact on youroverall returns.
Hey wealth builders, derek here and welcome back to
the Wealth Whisper podcastQuestion would you rather work
for 40 years or let your moneywork hard for you for a few
decades?
If you choose option two,you're in the right place.
Today we're cracking the codeon the time value of money, why
starting to invest early is themost brilliant financial move
you can make.
(00:20):
We'll talk compound interest,overcoming those I can't start
yet excuses and hear from peoplewho became millionaires simply
because they started young.
Get ready to change yourfinancial future.
This episode begins now thepower of compound interest.
You should start investing nowto take advantage of the power
of compound interest.
Compound interest is a conceptthat allows your investments to
(00:42):
grow exponentially over time.
When you invest your money, youearn interest not only on your
initial investment, but also onthe interest that accumulates
over time.
The benefits of compoundingcan't be overstated.
By reinvesting the interest youearn, your investment grows at
an accelerating rate.
This is because your investmentgenerates more interest,
(01:02):
generating even more interestOver time.
This compounding effect canlead to significant wealth
accumulation.
The exponential growth ofinvestments is a result of the
compounding process.
The longer you stay invested,the more time your money has to
compound and grow.
This is why it's crucial tostart investing as early as
possible.
Even small amounts of moneyinvested consistently over a
(01:25):
long period can yieldsubstantial returns.
To illustrate the power ofcompound interest, let's
consider an example.
Suppose you invest $1,000 at anannual interest rate of 5%.
After one year, your investmentwould grow to $1,050.
If you reinvest the interestearned the following year, you'd
earn interest not only on yourinitial investment, but also on
(01:48):
the $1.50 earned in the firstyear.
Over time, this compoundingeffect can lead to significant
wealth accumulation.
Understanding the time value ofmoney, investing early and
understanding the time value ofmoney allows for the potential
accumulation of significantwealth over time.
By grasping the concept of thetime value of money, you can
(02:08):
make informed financialdecisions and maximize your
returns.
Here are four key points toconsider.
One asterisk asteriskcompounding asterisk asterisk.
The time value of money isclosely tied to the power of
compounding.
When you invest early, yourmoney has more time to grow
through compounding.
This means that you earn notonly returns on your initial
(02:30):
investment, but also on thereturns themselves.
Over time, this compoundingeffect can lead to exponential
growth in your wealth.
Two asterisk asterisk inflationasterisk asterisk.
Understanding the time value ofmoney also helps you account
for inflation.
Inflation erodes the purchasingpower of money over time, which
(02:50):
means that the value of adollar today will be less in the
future.
By investing early and earninga return that outpaces inflation
, you can protect the value ofyour money and maintain your
purchasing power.
Three asterisk asteriskopportunity cost asterisk
asterisk Time is essential wheninvesting.
(03:10):
Delaying investing means takingadvantage of potential returns.
The opportunity cost of notinvesting early can be
significant.
By starting early, you can takeadvantage of the power of
compounding and give yourinvestments more time to grow.
Four asterisk asterisk riskmanagement asterisk asterisk.
Investing early allows you totake a long-term investment
approach.
This can help mitigate theimpact of short-term market
(03:32):
fluctuations and reduce youroverall investment risk.
You can ride out marketvolatility and achieve more
stable returns by spreading yourinvestments over a longer time
horizon.
Why starting early matters?
Starting early matters becauseit allows you to take advantage
of the power of compoundinterest.
Investing early gives yourmoney more time to grow and
(03:53):
accumulate wealth over the longterm.
This means that even smallcontributions can significantly
impact your financial future.
Compound interest benefits Takeadvantage of the incredible
benefits of compound interest bymaximizing your investments
over time.
Compound interest allows yourmoney to grow exponentially by
(04:14):
earning interest on both yourinitial investment and the
accumulated interest.
Here are four reasons whycompound interest is so powerful
.
One maximizing returns.
You can significantly increaseyour overall returns by
reinvesting the interest earned.
This compounding effect canhelp your investments grow at a
much faster rate compared tosimple interest.
Two beating inflation.
(04:36):
Compound interest helps youstay ahead of inflation.
As prices rise over time, thevalue of your money decreases.
However, by earning interest onyour investments, you can
offset the impact of inflationand preserve your purchasing
power.
Three time value of money.
Compound interest rewards thoseinvesting early.
The longer your money has togrow, the more substantial your
(04:59):
returns will be.
Time is your greatest ally whenit comes to building wealth.
Four wealth accumulation.
By harnessing the power ofcompound interest, you can
accumulate significant wealthover the long term.
I'd invest in and reinvest inyour earnings can provide
financial security and acomfortable retirement.
Long term wealth accumulation.
It would help if youconsistently contributed to your
(05:21):
investments over time tomaximize your chances of long
term wealth accumulation.
By adopting long terminvestment strategies and saving
early, you can benefit from thepower of compounding and secure
a brighter financial future.
One of the key benefits ofearly savings is the ability to
take advantage of the time valueof money.
This concept highlights thatcash today is worth more than
(05:44):
the same amount in the futuredue to its potential to earn
returns over time.
The benefits of investing inyour future.
Investing in your future offersnumerous benefits to set you up
for long term financialsecurity.
Starting early gives you theadvantage of time, allowing your
investments to grow through thepower of compound interest.
This means your money can workharder for you, accumulating
(06:07):
wealth over time and potentiallyproviding a comfortable
retirement or other financialgoals.
Long term financial securityMake a plan now to ensure your
long term financial security.
Planning for your financialfuture is crucial, especially
when achieving financialindependence and a comfortable
retirement.
Here are four key steps toconsider.
(06:27):
One start saving early.
The power of compound interestcan't be underestimated.
By saving and investing early,you give your money more time to
grow and benefit fromcompounding.
Two create a budget.
Understanding your income andexpenses is essential for
effective financial planning.
By creating a budget, you cantrack your spending, identify
(06:49):
areas where you can cut costsand allocate more towards
savings and investments.
3.
Diversify your investments Tomitigate risk.
It's essential to diversifyyour investment portfolio by
spreading your investmentsacross different asset classes,
such as stocks, bonds and realestate, you can reduce the
(07:10):
impact of market fluctuations.
4.
Regularly review and adjustyour plan.
Financial planning isn't aone-time task.
It's crucial to regularlyreview your financial plan,
assess your progress and makeadjustments as needed to stay on
track toward your long-termfinancial goals.
5.
Compound interest growth.
By starting early andconsistently contributing to
(07:32):
your investments, you can reapthe benefits of compound
interest growth and secure aprosperous future.
Maximizing compounding returnsis crucial for long-term
financial success.
Compound interest allows yourinvestments to grow
exponentially over time.
The earlier you start investing, the more time your money has
to compound and grow.
This means that even smallcontributions can become
(07:55):
significant sums over the longrun.
However, it's essential toconsider the impact of inflation
on compound interest growth.
Inflation erodes the purchasingpower of money over time,
reducing the actual value ofyour investment returns.
To combat this, it's essentialto choose investments that
outpace inflation and provide ahigher rate of return.
(08:16):
Maximizing returns with earlyinvestments.
You can significantly boostyour returns, with early
investments leading totremendous financial success in
the long run.
By taking advantage of thepower of compounding, you can
maximize the growth of yourinvestments over time.
Here are four key strategies tohelp you make the most of your
early investments.
1.
Start investing as soon aspossible.
(08:37):
The sooner you begin investing,the more time your money has to
grow.
Even small amounts investedearly on can accumulate and
compound into substantial wealthover time.
2.
Diversify your portfolio.
Spreading your investmentsacross different asset classes,
such as stocks, bonds and realestate, can help mitigate risks
and increase the potential forhigher returns.
(08:59):
Diversification is critical tomaximizing your overall
portfolio performance.
3.
Take advantage of tax-efficientinvestment accounts.
Utilize tax-advantaged accountslike individual retirement
accounts, iras oremployer-sponsored retirement
plans to minimize taxliabilities and maximize
investment returns.
These accounts offer taxbenefits that can significantly
(09:22):
enhance your long-term wealthaccumulation.
4.
Regularly review and adjustyour investment strategy.
Keep track of your investmentsand regularly assess their
performance.
Adjust your plan as needed toensure you're on track to meet
your financial goals.
Stay informed about markettrends and seek advice from
financial professionals to makeinformed investment decisions.
(09:44):
By implementing thesestrategies, you can position
yourself for long-term financialsuccess.
Investing early gives you theadvantage of time, a critical
factor in investment growth.
In the next section, we'lldiscuss the impact of time on
investment growth and whystarting early is so significant
.
The impact of time oninvestment growth.
(10:05):
Investing early andconsistently can significantly
impact the growth of yourinvestments over time.
Starting early can't beoverstated when it comes to
building wealth.
By starting early, you giveyour investments more time to
benefit from the power ofcompounding.
Compounding refers to earningreturns on your initial
investment and any previouslyearned returns.
(10:25):
Over time, this can lead toexponential growth in your
investment portfolio.
The effects of compounding aremost pronounced when you start
early and allow your investmentsto grow over a long period.
Let's look at an example toillustrate the point.
Suppose you start investing$1,000 monthly at 25 and
continue until you retire at 65.
(10:45):
Assuming an average annualreturn of 7%, your initial
investment of $40,000 would growto over $1.2 million by the
time you retire.
However, if you wait until age35 to start investing, your
final portfolio value would bearound $550,000, less than half
of what it could have been.
(11:05):
Setting yourself up forlong-term financial success.
To achieve long-term financialsuccess, it's crucial to
establish a solid foundation byimplementing intelligent
financial habits and making wisefinancial decisions.
Here are four key steps to setyourself up for long-term
financial success 1.
Setting financial goals.
(11:26):
Start by identifying yourfinancial goals, whether saving
for retirement, buying a houseor paying off debt.
Having clear goals will helpyou stay focused and motivated.
Please write down your goalsand break them into smaller,
achievable targets.
2.
Creating a budget A budget isessential for managing your
(11:46):
money effectively.
Track your income and expensesto understand where your money
is going.
Allocate funds for essentialexpenses, savings and
discretionary spending.
Please review and adjust yourbudget regularly to align with
your financial goals.
Three building an emergencyfund.
Life is unpredictable andhaving an emergency fund is
(12:08):
crucial to protect yourself fromunexpected expenses.
Aim to save three to six monthsliving expenses in a separate
account.
This fund will provide a safetynet and help you avoid going
into debt during challengingtimes.
Four managing debt wisely.
Debt can hinder your financialprogress, so it's essential to
manage it wisely.
Prioritize paying off highinterest debt first and consider
(12:31):
consolidating or refinancing tolower your interest rates.
Avoid taking on unnecessarydebt and develop a plan to
become debt-free.
By setting financial goals,creating a budget, building an
emergency fund and managing debtwisely, you can establish a
solid foundation for long-termfinancial success.
Let's explore how earlyinvestments can beat inflation
(12:53):
and enhance your financialfuture.
How early investments can beatinflation.
When it comes to beatinginflation, starting early with
your investments can make asignificant difference in
securing your financial future.
Beating inflation means thatthe returns on your investments
outpace the rate at which pricesof goods and services rise over
time.
Inflation erodes the purchasingpower of your money, so it's
(13:16):
crucial to find investmentstrategies that can generate
returns that exceed inflation.
One effective investmentstrategy to beat inflation is to
invest in a diversifiedportfolio of assets.
By spreading your investmentsacross different asset classes,
such as stocks, bonds, realestate and commodities, you can
mitigate the impact of inflationon your overall investment
(13:38):
returns.
Diversification helps youbenefit from the growth
potential of different assetclasses, while reducing the risk
of any one investmentnegatively impacting your
overall portfolio.
Another strategy to beatinflation is to invest in assets
that have historically shown astrong correlation with
inflation.
These assets include stocks ofcompanies and sectors that tend
(13:59):
to perform well duringinflationary periods, such as
consumer staples, utilities andnatural resources.
Investing in treasury inflationprotected securities TIPs can
provide a guaranteed return thatadjusts inflation.
Starting early with yourinvestments is crucial because
it allows you to take advantageof the power of compounding.
Compounding refers to earningreturns not only on your initial
(14:22):
investment, but also on thereturns generated by your
investment over time.
The longer your investment hasto compound, the more
significant the impact on youroverall returns.
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Cardiac Cowboys
The heart was always off-limits to surgeons. Cutting into it spelled instant death for the patient. That is, until a ragtag group of doctors scattered across the Midwest and Texas decided to throw out the rule book. Working in makeshift laboratories and home garages, using medical devices made from scavenged machine parts and beer tubes, these men and women invented the field of open heart surgery. Odds are, someone you know is alive because of them. So why has history left them behind? Presented by Chris Pine, CARDIAC COWBOYS tells the gripping true story behind the birth of heart surgery, and the young, Greatest Generation doctors who made it happen. For years, they competed and feuded, racing to be the first, the best, and the most prolific. Some appeared on the cover of Time Magazine, operated on kings and advised presidents. Others ended up disgraced, penniless, and convicted of felonies. Together, they ignited a revolution in medicine, and changed the world.
The Joe Rogan Experience
The official podcast of comedian Joe Rogan.