Saturday, August 7, 2010

One Big Idea

I decided, enough research already, just do it. So I opened up an e-trade account to start investing now that my MBA is complete and I have a regular paycheque hitting my bank account. It got me thinking about the pros and cons of investing in stocks versus bonds, and the power of compound interest. 

Here in lies the One Big Idea:

social compound interest.

To set the context for the One Big Idea, let's for a moment think of what exactly compound interest is. Thanks to wikipedia, it's definition is: "Compound interest arises when interest is added to the principal, so that from that moment on, the interest that has been added also itself earns interest.  

The “interest that has been added, also itself earns interest”.

Investing in our community, in our children, can tap into the power of compound interest in a social context. To me it’s all about creating opportunities – and the interest that has been added thanks to these opportunities is positive growth. Stronger communities and stronger children are then empowered to "itself earn interest" too and the virtuous cycle continues and continues … often described as "pay it forward".

Not a new idea but an important one, I think. Perhaps a bold statement, but could be one of the most powerful forces in the universe. 

Many of us out there "get" the One Big Idea and find our own ways to support. And, here are a few friends that have created their own vehicles to invest in the community. Click through a get ready to be inspired.


Emily Brydon Youth Foundation (see video below for her story and her calling)






Please share this post if you liked it, loved it, found it inspiring, or funny (that's unlikely, I'm not that funny) or your eyes were zapped open by amazement - thanks!

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