To Win on Financial Markets, Know the Difference Between Gambling and Investing

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To Win on Financial Markets, Know the Difference Between Gambling and Investing

When we buy a financial asset based only on the hope that we will gain, we are gambling. When we get into assets after first identifying the factor(s) likely to influence the price of the asset, we are investing. We are always told that the odds of winning in casino gambling are typically very low. If we view the financial markets like a giant casino, we should not be surprised if we lost badly.

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