Stock exchange is just another form of gambling
Apr 25, · Even though the long-term trajectory of American stock exchanges has pretty much always been positive, that alone doesn’t stop investing from becoming a form of gambling: after all, the casino Author: Kevin Horridge. Dec 30, · I feel the stock market is akin to gambling. (poker, a game of both luck and skill as opposed to a slot machine.) My friends say that it’s not the same, but I don’t understand how that’s true. When you look at companies like GM, enron, Bernie Madof and so on, I don’t see how it’s not gambling. After all, they looked like solid investments with good track records and people who. Mar 31, · These people normally buys a stock today and will sell it tomorrow or buy a stock at 8 am today and will sell it at 12 nn today. And no wonder, at the end of the bull bear cycle, 85% lose their money. This type of investing is what makes the stock market a form of gambling.
Investing Vs. Gambling: Where Is Your Money Safer?
Gambling: What's the Difference? Form W-2G: Certain Gambling Winnings Form W-2G is a document showing how much an individual won from gambling activities and what amount, if any, was already withheld for taxes. Sure looks like a roll of the dice to me. Both stock investors and gamblers look to the past, studying historical performance and current behavior to improve their chances of making a winning move. In sports betting and betting on horse racing, the odds are similarly stacked against the bettor. Gambling is defined as staking something on a contingency.
Going All-In: Investing vs. Gambling
Many skeptics, and legions of people who have never invested before, regard investing as just another form of gambling. This widely-held, but misinformed view, has kept too many from enjoying the financial rewards of judicious investment in the United States economy, which generally, over the long run, has been profitable. Although there may be some superficial similarities between the two concepts, a strict definition of both terms - investing and gambling - reveals the principle differences between them.
A standard dictionary defines "invest," as follows: to put money to use, by purchase or expenditure, in something offering profitable returns, especially interest or income. The same dictionary defines "gamble" as follows: To play at any game of chance for stakes.
To stake or risk money, or anything of value, on the outcome of something involving chance; bet; wager. In casino gambling, the "house," or the casino, has a mathematical advantage over the gambler, the player. Odds are that in the long run, the gambler will lose.
Below, as examples, are odds against the players for some of the more popular casino games of chance. Odds may vary slightly from casino to casino, and during promotional initiatives; but generally these odds apply, and reflect the player's disadvantage when playing these games.
I feel the stock market is akin to gambling. When it comes to the stock market, I have neither luck or skill, so I need to find other ways to invest. Someone explain to me why this makes sense. In a lot of ways it is. Gambling, speculating, and investing are sort of just arbitrary milestones on a continuum of risk. I think its the level of risk that differentiates them.
A defender of investing would tell you that with investing the risk is much more managed, where in a gamble its pretty much a matter of pure chance. Roulette and craps is gambling because they are based almost entirely on chance. Betting on horseracing could be more akin to investing if you are knowledgeable enough about the horses and the jockeys and the various conditions that come into play.
But really its still just a bet, an investment really need to somehow aid in some kind of growth, other than the just wallet of the bettor. If you just pick a random stock and hope it goes up or down in a shortsale you effectively are just playing roulette.
It becomes an investment when you have gathered enough knowledge about the stock to make an educated guess that you will probably not lose money. If you look at the dictionary, they are basically the same except one pertains to a game and one pertains to enterprise. Also, on Wall St, investing is more thought of in terms of something that's beneficial to the economy and to society: making a loan to for a company to start up or to build a new factory, where as gambling is thought of as deals that are intended purely for one party to derive profit from another, like placing a bet buying credit default swaps that company X's stock price will be below Y price by Z date.
A "bet" would actually have a different definition than an "investment. The biggest difference is that investments in stock have a positive expectation, while all forms of legal gambling have a negative expectation. Granted -- if you are particularly good at handicapping horses or particularly good at playing poker -- then there is a positive expectation for you and a larger negative expectation for someone else.
Sports gambling has become extraordinarily popular and profitable for many, with sports betting online having turned into a multi-billion dollar industry.
The best sports betting sites are now online sports betting sites, as the wealth and breadth of key information on top websites online give gamblers in-depth information and analysis literally moments after this information becomes available. Parties perhaps interested in delving into online sports betting have to recognize that, like any other reputable industry, and gambling in particular, a great number of rules and regulations are firmly in place to help prevent cheating, crime, and corruption that can materialize so quickly in the betting industry.
The best online betting sites recognize these concerns and have in place rules, regulations, and measures that keep their companies operating within the full framework of all laws while still growing and expanding to make their business venture a success. Gamblers need to realize that laws relating to sports gambling within states, and sports betting online, are constantly changing. Online sports betting sites, the top sites in sport, sites such as Bovada, BetOnline, and MyBookie, make fully clear the rules and regulations of their sites and the industry they serve.
Participants should know all the rules and regulations within that site before making bets, and should know what's legal and permissible in one state doesn't necessarily apply to another. Other states are lining up varied legislation that will make the activity legal within their state lines, to varied degrees, coming up. MyBookie, whose sportsbook is rated among the best online betting sites in , accept bets on a wide array of U.
They feature lines displayed in American, Fractional or Decimal Odds. There are several ways to LIVE stream contests with the best sports betting sites. If players can cast to their Smart TV, or if they own a Google Chromecast, Roku device, or Amazon Fire Stick, they can get the fastest and latest action down on the latest lines.