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Investment Is Just Like Betting

By Allan Johnson

Any time that you are considering investing you need to try to avoid making needlessly risky investment choices. Any time that you are going to invest there is inevitably going to be some risk involved. Nothing in these situations is ever guaranteed. If it were we’d all be rich. Stay away from volatile investments and go the straight and narrow while still getting a good return on your money.

Some investments are much like gambling and you could lose all of your money. These are not the types of investments that are a wise choice. You need to stay away from any investment that appears to be like gambling at all costs.

Lotteries and casinos are set up to make money. By paying only cents on the dollar to operate they ensure that if you p[lay by the rules you are going to be destined to lose in the long run. This may not seem fair but it’s the way it is.

Here are a couple of types of investments that you need to stay away from.

Futures: Trading in futures is basically you betting on something that you think will happen in the future. No one can ever know this information. An example is you investing in oil because winter is approaching and you think people are going to be using their heaters a lot resulting in more oil being used.

What happens if the opposite of what you had predicted is the reality. Maybe the winter is very mild and the need for heat is lower than you expected. What if a new form of heat is made available to people and they no longer are using oil as you had planned. These to situations just caused you to lose your investment money.

Day Trading: Day trading is a very attractive prospect to many people. The thought of making thousands a day by just making a couple choices would be attractive to anyone.

The truth is that you will most likely never beat the market average and will lose money in the long run.

The writer additionally regularly blogs on things such as stair chair and wicker storage baskets.

categories: investment,investing,finance,business,management,entrepreneurship,advice,loans,money,gambling,loans,careers,education

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Article Citation
MLA Style Citation:
Johnson, Allan "Investment Is Just Like Betting." Investment Is Just Like Betting. 9 May. 2010. uberarticles.com. 1 Sep 2014 <http://uberarticles.com/finance/investments/investing-is-much-like-risk-taking/>.

APA Style Citation:
Johnson, A (2010, May 9). Investment Is Just Like Betting. Retrieved September 1, 2014, from http://uberarticles.com/finance/investments/investing-is-much-like-risk-taking/

Chicago Style Citation:
Johnson, Allan "Investment Is Just Like Betting" uberarticles.com. http://uberarticles.com/finance/investments/investing-is-much-like-risk-taking/


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