As a relatively new investor and Fool, I've been teaching my teenage son about some of the lessons learned on TMF Boards. Reading Rich McCaffrey's essay on "Focusing on the Best" yesterday, I note his comment "Overall, however, I expect to beat the market by a few percentage points, and for those gains to compound handsomely without the high costs of churn."I had told my son that RM investing doesn't capture the value of compounding interest or value in the same way a high-yield savings account would. But Rich's statement must imply it can, although I don't understand how.Can anyone explain: how does RM investing encourage the advantages of compound interest gains that we older folks used to hear about as the path to wealth?
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