Final answer:
Once an investment exceeds the initial investment value, the investor starts to fit the role of an owner due to wealth accumulation via compound interest, potentially reaching significant returns over inflation.
Step-by-step explanation:
Once your investment is worth more than the initial investment, you're more like an owner. This reflects the fundamental principle that an investment's value is determined by how much more it brings in compared to what was initially put in. Through the power of compound interest, a small sum can grow significantly over time, outpacing the effects of factors like inflation. Investments placed in a well-diversified stock portfolio can assume a 7% real annual rate of return above the rate of inflation, leading to considerable growth in wealth over decades.