Investing/trading is gambling ?
If used properly, is it a good tool for wealth creation ?
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Trading in the stock markets is not like a dice game, while gambling is a zero-sum game of playing the available odds. Trading involves examining past information and analyzing available data to trade or invest in stocks. Unlike gambling, trading has no ultimate win or loss. Companies compete with others to innovate their products and provide better services, thus leading their stock prices to rise. This, in turn, leads the stockholders of that firm to earn greater profits. Hence, trading is not gambling.
I believe the difference between gambling and trading is managing risk
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I totally agree with you.
Thanks for the response.
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Stock market is exactly like our life. Short term pain and gain is trading. Your long term achievements is investing.
We are ready to invest so much of our time and money till we reach the age of 20. The return comes only after that. So same way give your time for market and it will reward you.
I have no clue about trading and hence cannot comment on the same. However my view of stock market is as follows
This is a platform, which offers investors, convenient and easy way of investing or being a partner in companies listed in India. Stock market does not discriminate between the wealthy and the middle class or even the poor.
I as a small investor can buy one share of Reliance whilst my friend might own millions of shares of Reliance. It does not matter, this is the beauty of stock market. It accomodates all type of investors.
Where can you find this opportunity, to be a part of some of the biggest companies in India like TCS, Reliance, Infosys, HDFC, HUL. The amount you invest is immaterial, but it allows even the smallest investor to take part. This is what stock market is all about - allowing investors to invest and be a part of the business.
Just like any business you start, there could be losses and gain, you face the same in stock market too. If you start a business with a partner and if he is unscrupulous, you will lose, similarly promoters can also do the same. These are the risk you take when you start any business.
To me, this is the true prupose or meaning of stock market and wonder why people associate gambling to stock market.
Just because the market offers you liquidity on a daily basis which in fact allow a investor to buy today and sell tomorrow, it cannot be called gambling. There could be people doing this to make gains, but this is not what Stock market is meant to do.
I think it was Mr.Ramdev Aggarwal (Motilal Oswal) who said, invest and allow the super smart CEOs of India work hard and make money for you, you could proudly say, you are a shareholder of TCS or HDFC or anyother company in India. This is stock market and definitely this cannot be gambling.
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Wow. This is one of the best post I’ve ever read @neha1101
All the points are logical and does makes sense.
Thanks for your response.
It depends on you ! See the real picture is stock market was created by people just like societies were created by people. If there were no people involved then with whom we trade? The base of the market is people it self , that’s why top traders say psychology is the most important thing in trading because there are masses of people who are thinking just like you . Everyone see the same chart but everyone interpret it differently according to their identity trader ,investor or hedge fund manager etc. See through everyone’s perspective and judge who is gambling or investing and what you should become to stay in the market.
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No many people says but if u use in right direction u will know it in better way
That is not wrong if we say trading is kind of gambling, trading works on the basis of probability, demand & supply, current scenario etc, what’s the only thing in your hand is to find the most probability, manage the risk and trade and repeat.
Investing is not gambling. Investing is done with certain vision and aspiration i think. Whatever the company you are investing in, have goals, vision and they are working towards it, so it distinguish investing from trading.
Investing can also turn in gambling if not done with right knowledge.
Gambling is when you trade out of your emotions, like having no trading plan, no risk management, overtrading and oversizing out of fear and greed etc… But If you do proper technical/fundamental analysis and apply risk management with right psychology then it is considered as Trading. Yes, it is a good tool for wealth creation but not that easy like it seems. It takes months to years to master it.
ANY BUSINESS IS GAMBLING ONLY. (That’s why academic education doesn’t encourage students to invest. Infact 99.99% of MBAs are employees, not employers because business schools teach everything about business except how to invest.)
Successful businesses are well calculated gambling.
Failed businesses are miscalculated gambling.
A wise person may treat even gambling at casino like a business and can make consistent profits. There are people who does that.
An inexperienced man can treat legitimate business like a gambling and lose investment.
Legally speaking buying shares are partnering with business.
Whether it is stock trading or stock investments it is upto you how to treat them, gambling or business, a well calculated gambling:
My thread explains how to treat stock trading as a business:
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More than 90% of world population are too lazy to imagine. This guy is an example.
Stock market is not gambling, but the result of it is also based on probability and chance along with the fundamentals and technicals. In fact, everything in this life is based on chance. While our own analysis and intelligence can help us gauge the outcome, but at the end of the day, nothing can be set in stone. So understand the risk and reward associated with investing and only then start your investing journey.
More than 90% of gamblers lose money.
More than 90% startup businesses are failures.
Both gambling and businesses suffer from uncertainty at various degrees.
There is uncertainty or insecurities at jobs too but not comparable with gambling or businesses.
Life itself is a gambling because there is uncertainty at every area of our life
I am a philosophical personality, please bear me.
Jobs are made because of businesses running successfully.
What’s your source on this?
Serial Gambler. 
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Investing is purely a mixture of art and knowledge. You need to have mindset to imagine the future trends of society and , need to have the knowledge to judge businesses that go along with it.
Trading is 100% gambling. But there is a difference from traditional gambling. You get to control and decide your loss.
The question of whether the stock market is gambling is a thought-provoking one. While there are similarities in risk and uncertainty, the stock market is generally considered more of an investment than gambling. It involves analyzing companies and market trends and making informed decisions. However, it’s always good to research and seek professional advice.