yeah i'm talking about real rate so it's not inflation
i agree that the data is often skewed in favor of upside because they delist stocks before they go bankrupt and often use data only since right after the great depression
but don't stocks still have some small real rate of return...
Ok this might sound really stupid, but why do stocks have a positive real rate of return over time?
If stock price is equal to the expected value of all future earnings, then 'because companies grow over time'(the explanation i hear the most) doesn't seem to make sense.
Is it because you...
sellers should have an edge because in general they are smart people working for finance companies whereas buyers are in large part dumb retail investors who just want a 1000% gain with no idea of the probabilities
however sellers can get screwed by insiders...
Don't forget talent/intelligence. I hear a lot of people say 'if you work hard and have a good system and solid money management etc. etc.' Well the truth is, most people don't manage their money well, and even less can develop an edge. Most people are just not smart enough to beat the...
yeah so the government should bail out everyone who bought stocks at DOW 14000 too because they were 'cheated' just like you. maybe you don't realize it but you made a dumb mistake and you should live with it
moronic.
if 1 trade has .01 probability of losing money, 100x trades still has .01^100 of losing money on all 100. there is always a chance that you will be wrong, that's why it's a gamble
sounds like someone who thinks they know everything but will eventually blow up their account one day. you can't account for everything, that's why it is gambling. you could make the best trades in the world, but there's always a chance they will fail.