Online Brokers: Investor Education, Compounding

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Compounding is a financial phenomenon that makes time work for you. It happens when your investment earnings are added to your principal…You’re reinvesting, and increasing the chances of making even more money, faster. Compounding is your friend. Which brings us back to TIME. This “compounding” phenomenon is the reason everyone tells you to start investing young. You’re giving that early batch of investment money lots of chances to compound…over and over again… enriching your life.

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