In simple terms, "compound rate" refers to the growth or increase of something over time. It happens when the amount or value of something continuously builds upon itself, leading to exponential growth.
A basic investment starts with an initial contribution that is invested at an annually compounded rate of return, and regular, equal contributions are added to it over time. (bmo.com)
As the traditional media business contracts — newspaper revenue is declining at a 4.2 percent annual compound rate — fewer paid writers are writing fewer original stories. (inc.com)
In Table B, I compare the growth of three portfolios, each of which grew at the same 6.0 % compounded rate over a five - year period. (soundmindinvesting.com)