4 ms·
why do people think trading will make you rich?
by lihaciudaniel 6y ago
why do people think trading will make you rich?
- pathseeker 6y agoBecause of posts like these: https://i.imgur.com/IbygTNX.png https://i.imgur.com/IbygTNX.png https://old.reddit.com/r/wallstreetbets/comments/gjkpel/4k_17k_this_week_based_purely_on_technical/ https://old.reddit.com/r/wallstreetbets/comments/gjkpel/4k_1... https://old.reddit.com/r/wallstreetbets/comments/gj0v2v/35_15000_on_shop/ https://old.reddit.com/r/wallstreetbets/comments/gj0v2v/35_1... Most people do not fully internalize survivorship bias and are tempted to jump in on the easy money.
- nostromo 6y agoBecause there are some very rich traders, including the fourth-richest person in the world.
- raspasov 6y agoWho is that?
- lihaciudaniel 6y agoWarren Buffet
- loopz 6y agoWho is not a trader.
- clairity 6y agohe's an investor, not a trader, and has outsized influence on the outcomes of his investments.
- nostromo 6y agoA distinction without a difference. He is an active trader that moves in and out of businesses all the time. In fact, he just dumped all of his airline stock recently due to Covid-19. It doesn't matter if you trade based on research or not, you're still a trader.
- clairity 6y agoau contraire, it's precisely the most carnal difference, that of intent and of effect. investors want investments--the companies--to succeed, and thereby externalizes a net positive societal effect; traders want their bets to succeed, others be damned.
- nostromo 6y agoThat's super cute, but it's your distinction and not the definition used by the world. If you buy and sell stock, you're a stock trader. And Buffet is a stock trader.
- MattGaiser 6y agoSame reason people think the lotto will make you rich. They see one person do it and think that can be them.
- throw0101a 6y agoSee XKCD "Survivorship Bias": * https://xkcd.com/1827/ https://xkcd.com/1827/