If you are a runner, you know that you did not become as good as you are today suddenly. It may have felt that way but it was not.

Instead you most likely benefited from the power of "incremantal change."

Here’s how it works:

1- Implement a small improvement
2- Adapt to the new adjustment until it becomes your standard practice
3- Implement a small improvement again
4- That becomes the new normal again
5- Repeat

The essence of incremental change is that it often goes unnoticed until, almost suddenly, we find ourselves at our desired destination. It's like gradually building speed when  running: day by day, the improvements may seem marginal, but over time, they accumulate into significant progress.

Just as small improvements in performance can add up over time in various aspects of life, incremental gains in investment returns can compound into significant wealth accumulation.

For instance, imagine consistently contributing a portion of your income to an investment portfolio. Initially, the growth may seem modest, but over time, the returns on your investments can generate additional gains. Through compounding, these gains are reinvested and earn returns themselves, leading to exponential growth.

Similarly, regularly reviewing your investment strategy and making adjustments based on market conditions or personal financial goals can contribute to long-term success. Tracking your progress, even if it's just incremental, helps reinforce the discipline needed to stay committed to your financial objectives.

Good investing,

Elisabetta (IG: @thewealthmamma)