Invest consistently over time from "summary" of The Automatic Millionaire Workbook by David Bach
This concept is all about the power of consistently investing money over time. It may seem simple, but it is incredibly effective. By making regular contributions to your investments, you are taking advantage of compound interest. This means that not only are you earning interest on your initial investment, but you are also earning interest on the interest that has already been earned. Over time, this can lead to significant growth in your investment portfolio. Consistency is key when it comes to investing. By making regular contributions, you are able to dollar-cost average your investments. This means that you are buying more shares when prices are low and fewer shares when prices are high. This helps to smooth out the ups and downs of the market and can lead to better long-term returns. Another benefit of investing consistently over time is that it helps to take the emotion out of investing. Instead of trying to time the market or make decisions based on short-term fluctuations, you are simply sticking to your plan and investing on a regular basis. This can help to reduce the stress and anxiety that can come with trying to predict the market. By investing consistently over time, you are also building a habit of saving and investing. This can help to ensure that you are always putting money away for your future, even when times are tough. It can also help you to prioritize your long-term financial goals and make decisions that align with those goals.- The concept of investing consistently over time is a simple yet powerful way to build wealth. By making regular contributions to your investments, you are taking advantage of compound interest, smoothing out market fluctuations, reducing emotional decision-making, building a habit of saving, and prioritizing your long-term financial goals.
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