Forex Managed Account – The Great Secret of the Rich !
Most people know that you have to earn a lot, spend a little and wait patiently to be financially independent – but that’s only part of the story. Most of them miss the enormous significance of each annual interest percent on investment. The rich, who are investing in a forex managed account just realized it.
So what is the right way to gain a personal wealth ? How can parlay really just enough to get into a financial independence ?
Many believe that all it takes to succeed in school, get a good job and get a high salary. Indeed, good pay is an important part of the formula for creating wealth – but in fact it is just one part of the three to create the wealth. The other two are:
2. A high gain on investments.
Most people are well aware of the importance of the first section. Except that, there is interest in return for most people ignorant. I think, actually gain is the most critical part toward creating significant personal wealth.
Physicist Albert Einstein once said that the most powerful force in the universe is compound interest ! But what Einstein knew even then, many do not understand to today. Ignorance of most of us about the power of the compound interest always surprises me.
I remember that when I was just beginning to develop the trading Algorithms and to work at Engineering Investments, I was very excited by the fact that you can make a gain of 50% or more per year !
Let’s help our employe to calculate him how much money he lost because of his ignorance. Let suppose that at that time he had already managed to put aside 10,000 of dollars. This is quite reasonable amount for the mean employee. Nowadays we have low-interest rate, so let be large and suppose our employee have a very good saving account with a gain of 4% per year, then in 20 years this investment will be $ 21,911. But, with an Algorithmic Forex Managed Account is in the worst case 50% a year, which will reach a total of $ 33,252,567 !!!
The $ 33 million that he can gain by Algorithmic-Trading investment are probably higher amount of the salary he will earn in the same 20 years. It means that one of the funds honorable willing to work very hard every day, From Dusk till Dawn, but is not willing to make some simple steps, such open a Forex Managed Account that will yield him a larger sums of money.
This matter, i have never understood. How people are willing to work so hard for the money – often at work they hate – but are not willing to invest a little time to manage their money, so doing the best investment. This is despite the money management can yield no small income at all, maybe even more income than their work.
The rich people are well understand the power of the compound-interest. They know that to get rich, they should maximize yield as much as possible. Investing their money in their business, Forex market or real estate. You will not find a lot of rich people, who are investing at savings plans or hold millions of dollar in their liquid account.
The power of compound interest is huge, and there should not be an Einstein to understand it. Who understands that power can improve their economic situation much, even if the income is not high or is not growing at a rate that provides them. This is especially true of young people, who are in front of them many more years of saving.