Investing vs. Gambling - By Chris Cushman
Sometimes gamblers make money and sometimes investors lose money, so what’s the difference? Are the odds with you or are the odds against you! If you add up everyone who does a certain activity, do they make money or does the house generally win?
How do you make sure the odds are in your favor?
1. Pick an activity or area where most people succeed over the long-term. (Think about 20-year return of stock market or renting out properties for example.)
2. Learn what behaviors lead to success or failure with that investment. Pay extra attention to the risks. Every new idea to increase return comes with additional risks!
3. Steady plodding brings prosperity and hasty speculation brings poverty!
Keep in mind that your first experience doesn't always prescribe what the future holds. Many people generate (or win) lots of money the first time they try something and that can lead to misplaced confidence and disaster later!
These general principals can be applied to many different investments. Are you set up for success? Come by for a visit and let’s discuss!
We cannot guarantee future financial results.