Friday, January 11, 2008

Why you can't be rich in the stock market.


Since I first became an investor I have heard many people say that investing in the stock market can make you rich. This principle is true but this would take time unless you worked for Google or something else along those lines. The average return in the stock market is usually 9% annually. Which means if you didn't put a lot money in your investment don't expect a lot from your investment. The only people who can make loads of money on daily basis is traders , but to do that you have make a lot of transactions a day,sometimes trading a thousands times in one day. Also I see trading as a form of gambling since no one in the world can predict the future.


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97% of the stock market is controlled by 3% of the investors. The reason for this offset percentage off so much is bieng controlled by a fraction of people, is the top people 3% is business owners who owned or possess most of the shares for a particular company.So the only ways to become rich in the stock market is to have your investment for a real long time or start a company you have majority of your shares in.
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1 comments:

ChampDog said...

So far, I've been investing in stock as a long term investment. Daily trading is way beyond me.

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