How To Become a Millionaire Investor

One of the great myths of investment is that you need an MBA, a Porsche and access to lots of cash before you can take part. Fortunately nothing can be further from the truth and with the right long-term approach; almost anyone can become a millionaire investor. Long-term investment strategy In short, this article will explain a low-risk investment strategy that could allow you to retire younger, travel more, buy expensive cars, pay off your mortgage or simply enjoy a comfortable lifestyle with a greater level of financial security. Other investment strategies might provide greater returns in the short-term, but will require a significantly higher investment and much more risk. Understanding the importance of compound returns When you put money into the bank, you earn interest on your savings. The next month, you will earn interest on that interest as well as the money that you originally put in. This cycle will continue each month and as long as you do not take any money out of your account, you will be earning increasingly higher amounts of interest, on top of your original contribution. The same principle applies to investments in shares and investment funds. By re-investing dividends into the purchase of additional shares or funds, you will be able to generate additional earnings, which you can then re-invest again and again. Turbo boosting your compound returns You can improve the performance of your compound returns by adding additional contributions to your savings account on a regular basis and by selecting investments that provide higher annual growth rates. The powerful effects of compound returns are best seen over a long period of time. The table below shows the returns that can be achieved by making monthly contributions of