Is it possible that a person loses the capital and nobody benefits from it?

In trading or any aspect of the market where the transaction takes place. Is it possible for a person to lose money and there is no beneficiary of that transaction? Like if you imagine Stock/Forex or any market like a big black hole which sucks people’s money and occasionally shows profit just for the illusion?

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Any stock which shows lower circuits is one example

When you have a stock in your demat and its going 5% down every day for weeks, who is earning that money? No one.

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good analysis. so where is that money going?

That money goes into oblivion (erosion of market cap)

If that circuit stock starts going up (for e.g. Vakrangee started doing last week), then that money is returned to the people who hold it now

If the stock never rebounds, the money is lost into the oblivion

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@newguy Good question asked :+1:
The problem in trading universe is… all amatuer traders with less than 3 yrs experience who have not seen Bear Mkt (not experienced) thinks themselves as “Turram Khan.” They know everything. They have plenty of theories and answers. And the funny part is they never ever accept the truth or genuine answers. They always defend the true answers and try their best to include themselves in the 97% of losing traders.
And the sad part is True Professionals never participate (hardly) in public forum. Because they know their thinking is always 180° Opposite of 97% of newbie traders.

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