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What does the author think of index investing in this context then? I concede that currencies should function differently than the stock market, but this is exa
by lucasyvas 4y ago
What does the author think of index investing in this context then? I concede that currencies should function differently than the stock market, but this is exactly how long-term stock investing is meant to work. I suppose I'm missing the point.
- arcticbull 4y agoNot really, no. Equities, and equity indices, are comprised of productive businesses. They are positive sum because investor returns are generated by non-investor participants (the customers of the business buying goods and services). A better analogy between crypto in traditional markets is some sort of wild-west futures market and options market. Index futures are provably zero-sum. Options are negative-sum for buyers, if I'm not mistaken.