There are about 7 wonders in this world you can only awe at. But there is one wonder you could build yourself, own it and also awe at it. It is called compounding.
Compounding is an unfathomable force (like gravity, electromagnetism, black holes etc) for a human brain to understand. It is a phenomenon and hence it works on all aspects. There is no good and bad. It works equally well in positive and negative context.
The best part is we can compound many important aspects in our life. Not only wealth, compounding also works on learning, relationships, knowledge and more.
Here are five tips to harness the power of compounding and make it yours.
- Build compounding slowly and systematically.
- Establish a minimum growth rate and keep at it. Remember 1% >> 0%
- Do not break compounding whatsoever. Stay away from shiny object syndrome.
- Focus on long-term thinking and adjust short-term results.
- Play long term games with long term people (h/t Naval).
If we understood the marvellous force of compounding and the difficulty of getting it, we would understand a lot of things in this universe with ease.
🥂 to compounding!