The Sound Guy
Pursuit Driver
You see it in movies and stories, those who gamble on split second buys and sells.
fortune.com
If you don't have a fortune subscription, somehow yahoo can copy the entire article and doesn't get in trouble???
finance.yahoo.com
“One fact of financial life should never be forgotten,” he wrote. “Wall Street – to use the term in its figurative sense – would like its customers to make money, but what truly causes its denizens’ juices to flow is feverish activity.”
Modern brokerage firms, at times, entice investors into stocks or complicated derivatives with new and fancy features on their trading apps. But they aren’t doing it to help the average retail investor, they’re doing it because they make money from fees on every trade. That means the more trades, the better it is for the House, even if that’s not true for investors.
During periods where more of the general public gets interested in stocks, Buffett explained, “whatever foolishness can be marketed will be vigorously marketed – not by everyone but always by someone.”
The Berkshire CEO noted that when the scene then “turns ugly,” and speculators lose money during a market meltdown, they shouldn’t expect a helping hand—or justice—either.
Warren Buffett says the stock market is increasingly ‘casino-like’—and young investors need to remember this ‘one fact of financial life’ to avoid the mess
“For whatever reasons, markets now exhibit far more casino-like behavior than they did when I was young,” Buffett wrote in his annual letter to Berkshire investors.
If you don't have a fortune subscription, somehow yahoo can copy the entire article and doesn't get in trouble???
Warren Buffett says the stock market is increasingly ‘casino-like’—and young investors need to remember this ‘one fact of financial life’ to avoid the mess
“For whatever reasons, markets now exhibit far more casino-like behavior than they did when I was young,” Buffett wrote in his annual letter to Berkshire investors.
Remember this key ‘fact of financial life’—and you’ll avoid gambling in the market
For the speculators that are using the stock market like a casino, Buffett had one main tip: Remember who is really making money from your gambling—the House.“One fact of financial life should never be forgotten,” he wrote. “Wall Street – to use the term in its figurative sense – would like its customers to make money, but what truly causes its denizens’ juices to flow is feverish activity.”
Modern brokerage firms, at times, entice investors into stocks or complicated derivatives with new and fancy features on their trading apps. But they aren’t doing it to help the average retail investor, they’re doing it because they make money from fees on every trade. That means the more trades, the better it is for the House, even if that’s not true for investors.
During periods where more of the general public gets interested in stocks, Buffett explained, “whatever foolishness can be marketed will be vigorously marketed – not by everyone but always by someone.”
The Berkshire CEO noted that when the scene then “turns ugly,” and speculators lose money during a market meltdown, they shouldn’t expect a helping hand—or justice—either.
