Stock market can bring a fortune to people. However, it can also take away everything from you overnight. Many individuals think of investing in the stock market as being similar to gambling. When they think of the stock market this way, they miss one big point:
A、gambler has a negative expected return, while an investor has a positive expected return. Over time, the more money that an individual gambles at a casino, the more money she will lose. In investing, the more money that an individual commits to long-term investing, the more money that the individual will make because the odds are on the side of the investor. Historically, stocks have returned about 10 percent before taxes. People who view the stock market like a casino tend to act like spectators, trading in and out of stocks every few months, or in extreme cases, every few days.