This is the secret behind Warren Buffett’s vast wealth and here's how to use it
Morgan Housel, the author of the popular book Psychology of Money, using an example of the ace investor, highlights how time is the most critical element when it comes to using compounding to grow one’s wealth.
The author points out that Warren Buffett’s investment has an average 22 per cent return on his investments annually, whereas, Jim Simmons, founder of NewYork-based hedge fund Renaissance Technologies, has an annual return of 66 per cent. Based on just numbers, Simmons is technically the better investor.
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