Compounding is easy to understand. Staying invested is the hard part. A portfolio does not need you to constantly intervene to compound. But panic selling, frequent switching and profit taking can interrupt the process through taxes, brokerage, spreads and permanently realised losses. A 50% fall requires a 100% gain just to recover the original capital. That is why volatility itself is not always the biggest threat to long term wealth. Investor behaviour is. Historical equity data shows that longer holding periods have generally reduced the probability of negative outcomes, while investor behaviour studies have repeatedly found that timing decisions can create a meaningful gap between fund returns and the returns investors actually earn. #LongTermInvesting #Compounding #InvestorBehaviour #WealthCreation