Why Gambling is not investing.
When you believe Investing is like gambling, you’re wrong. Want to know why? Check out the video to find out how. There are similarities, but in the end, it is not since gambling is not meant for the long term.
00:00 A Quick Win
Gambling is never meant for the long term, you can make money, just like you can through investing, but it is making choices now to take your win or wait for it to lose. That’s the first point to take in.
01:59 Join the Game
By flipping a coin, we can see the outcome of the game, right away. It is either win or lose for you are participant. So, would you join the game for 10 dollars, 1000 dollars or even 100,000 dollars? Everyone has their number for saying it’s too much
05:24 Why investing feels like Gambling
Everyone will be a daredevil at some point, and takes a risk, and that’s totally fine. But the moment stakes are being raised, people will feel it’s too much out of their comfort zone. That’s the moment emotion kicks in. for gambling, and just like investing, emotions are the issue for killing off the profits. Therefore having clear goals is important to make money. But what makes the difference between gambling and investing. Investing is never about losing money. Whereas gambling it is the choice between winning or losing. The whole purpose of Investing money on the stockmarket is to win, and make money. We never invest our money on the stock market to be saying to ourselves, well we might just lose the money. If you think like that.. then yes, I do understand you believe it is similar to gambling.
08:10 Why Investing is certainly NOT gambling
When investing, you can do research, before investing your money in a certain stock for a long time. whereas gambling, well, if you want to research a slotmachine, there is nothing really about it. The winchance is low, and that’s it. It’s for the fun and excitement of the moment. Nothing else to it. You can influence the choices on the stock market for yourself, whereas in the casino.. the only choice is, which game do you want to lose your money, but possibly win some as well, if the dice are in your favour.
09:47 Bonus: what dumb things I did
Now, although I teach others what to do, and not to do in investing. I did something greatly horrible earlier this year. And I gambled 10,000 dollars to see if I could win some more. In the end I did, but it cost me a few years of my life, and a dirty pants, figuratively speaking… it was so exciting to see the stock market going up and down. So no, don’t do it again, and would certainly not advise other people to do so.. even if you plan to throw away your money.
13:42 In the end, make the choice yourself
But no matter how well you research your stocks, if you believe it is like gambling, then I can’t take away that feeling from you. But if you are someone who would like to make money through stocks and you are interesting how I started my journey. Why not check out my book that is currently on special offer 😉