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hinkleytoday at 10:23 AM0 repliesview on HN

I have decided that the “start investing early for compound interest” advice is actually a very clever white lie told to young adults everywhere.

The point of starting early is not compound interest. It’s to experience loss when you still have a pittance in the market. The older you get the bigger the chunk of cash you can put in, and if you don’t understand Let it Ride and rebalancing before 20% is a loss of thousands instead of hundreds of dollars, you’re gonna have a bad time.

The only compound interest that really matters is what you get when you have a substantial stake that you also haven’t blown up chasing fads or snake oil. So the advice is technically true but also technically beside the point.