This seems to be an interesting topic where most people have a point to debate on.
In this materialistic world, monetary value apply on every thing. Most of the time, wealth and success is measure by the amount of money you own / make. You may have different measurement but sadly, this is tends to be planted on majority mindset.
Most people has their financial investment, be it in Property, Equity (Stocks), Bonds, Unit Trust and others. We found ways to invest in order to stay wealthy or at least to maintain our existing wealth against the inflation.
Let’s set the background to Financial Investment in Stock Market.
For years, I been involved in Equities market. Stock market is the best known money printing machine in all countries. Almost everyone use the performance of stock market to gauge the economy sentiment.
How do we invest in stocks? What are the risk? Why are we so sure about the market going to rewards us?
Frankly, for the above questions, everyone has different answers. For what I can tell you, it is depends on individual mindset. Everyone has different investment preferences and belief. Most people believe that invest in Stocks will help them to build a wealthy fortune future. Yes, I agree if only you do it right. Same as every other business in this world, we need to do things correctly in order to reap the success.
For me, I can tell you about 1001 things in stocks investment. This post, I would like to share you something different which may help you to identify whether or not this is a suitable area for your to invest into.
Investment in stocks is gambling! Yes, it is gambling, like in online casino Arabic or online casino Sverige!
I know you would strongly disagree on the above but let me tell you why Investment in stocks is a gambling.
Reasons:
1. You predict the next move of the stocks on either up or down. Then you bet on one side (long or short) only.
2. You have no control on the outcome but expose to risks of losing your hard earn money.
3. You are not 100% sure on your winning chances.
4. No guarantee on your return.
Now, with the above reason, do you think it apply to both Stock Investment and Gambling?
You think they are different perhaps you are bias that Stocks will always have their fair value and you will not suffer total loss which could happen in Gambling.
If you think like the above, you are so wrong. Stocks are generally represent the shares of a company. By purchasing the shares, it make you a share holder. In worst case, you bare the liability too! If the company is not doing well and force to be delist from the exchange, then your money will be gone and that is a TOTAL loss.
You might also considered that the Risk of Total Loss in Stocks Vs Gambling, the risk reward ratio seems to favor to Stock investment. As mentioned earlier, investment is solely your personal opinion and judgment. As long as you are comfortable, there are no right or wrong.
I would like to share with you, either stock investment or gambling is a game that make you expose to certain financial risk. Do consider your financial investment options carefully.
Stock market is a money tree when you know how to harvest from it. Otherwise, you will be the farmer who grow the tree for others to harvest!
I hope this post can at least paint you a better image on financial investment in stocks.
Do leave me a message if this interests you.
