Investment Trust Dividends

Investing

Why long-term investing works

Investing over a long period is a tried and tested strategy.

The sooner you start saving the more you can put aside, and early contributions are the most valuable because they have the longest to grow.

Compounding will also boost returns. In simple terms, your money earns a return in the first year and both the original cash and the return benefit from any growth in the second year. In the third year your investment is further enhanced by any returns achieved. This snowball effect is known as compounding.

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