THE POWER OF COMPOUNDING EFFECT " COMPOUNDING EFFECT IS THE EIGHT WONDER IN THE WORLD HE WHO UNDERSTAND IT....... EARN IT . HE WHO DOESN'T NO ..... PAY IT. " WHAT IS COMPOUNDING ? COMPOUNDING IS THE PROCESS WHERE BY INTEREST IS CREDITED TO AN EXISTING PRINCIPLE OF AMOUNT AS WELL AS TO INTEREST ALREADY PAID COMPOUNDING IS THE MULTIPLYING OF AMOUNT TWICE SO THIS IS THE SECRET FOR MR.WARRREN BUFFER (3rd RICHEST PERSON IN THE WORLD) COMPOUNDING EFFECT = CHOICE + BEHAVIOR + HABIT + TIME The compounding effect is a powerful force that can greatly benefit investors in the share market over the long term. Compounding refers to the proc