Compound interest is the eighth wonder of the world, as Einstein famously said.
We often tend to underestimate the time factor: you don't need to be a financial wizard, you just need the discipline to let the market do its job without panicking.
However, we must remember the psychological price of that difference: to capture that 10% return on the S&P 500, you have to be willing to stomach 20-30% drops along the way (while staying invested).
A 5% Treasury Bond lets you sleep soundly at night. The real challenge isn't the math—it's the investor's stomach!
