Investing money in a stock market is much like staking money on casino roulette. First, there are a few things to know about a roulette and stock market to appreciate their likeness and their differences.
Betting on a single number at a roulette table, one generally may profit 35-to-one, but the chance for that to happen is 1-in-37. This leaves an edge of 5 percent to the house and no matter what, in the long run, you are likely to lose.
If at the age of 25 you’ve made up your mind to invest few savings into the stocks, one of the more volatile markets ever, you’ve done a wise thing. Your money will not be wasted and if you start with an investment of $100 a week, it’ll grow and blossom at an annual 9 percent rate. In the next 40 years, your fortune will be estimated in millions. Contrary to roulette wheel, in the stock market investment you are bound to win.
Casino bets are a gamble while long-term investments are not.
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