Is the stock market like gambling?
“In gambling, the house only makes money if the participant loses. Therefore, the house has a strong incentive to stack the odds against the gambler. However, when an investor buys stock in a company, the company wins alongside the investor when the stock increases in price. In essence, the company and investor are on the same team because their goals are often aligned.”
Watch the video above for more complete details on why we feel gambling and investing are fundamentally different.