Uncover potential new investments and learn about financial markets on the Chit Chat Money podcast. Our flagship show releases two episodes a week covering individual stocks, one with a guest and one without. We periodically publish seasons of a History of Financial Markets, which you can listen to here. The show notes for each episode are published on this website, which you can find below.

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The Three Levels of Compounding

Someone on fintwit once said: “Compounding is the highest form of living” I can’t remember who exactly said it, and it has probably been repeated many times before, but for some reason, that quote has stuck with me. I probably think about it once a week. The definition of compounding money is “the process in which an asset’s earnings, from either capital gains or interest, are reinvested to generate additional earnings over time.” But compounding doesn’t just apply to money.

 

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