Compounding

I was recently listening to Mitch Rales’s interview called The Art of Compounding.

He specifically mentions (my paraphrasing) when highering for his company, that if someone is only going to stick around 3-5 years they won’t hire them. They want them to stick around longer because their knowledge and experience compounds the longer they work there.

The company benefits a lot more their employment from years 5-10 then it does from years 1-5. And moreso in years 10-15.

When it comes to trading (or any long term effort), the same strategy applies. If I learn trading and quit after 2 years. I never gave myself the chance to unlock the compounding affect.

The biggest benefits to me will be after 5 years, 10 years, 15 years. If only I can stay in the game long enough to be around then.

It’s not a short term race. Compounding is a long term play.

The same thing applies to other areas of life. (Relationships being one of them)

If you’re constantly pivoting and changing, you never allow compounding to really benefit you.