subject: Investing or Gambling- It Depends on Your Point of View [print this page] Investing or Gambling- It Depends on Your Point of View
Many people see binary options and fixed-income betting as gambling. Just like Obi-Wan Kenobe said in Star Wars Return of the Jedi- it depends greatly on your point of view.
On one hand, investing in all markets, whether it be day-trading, long-term investments, mutual funds, indices, 5-minute binary options, your pension plan or an insurance policy is a form of gambling. You are subject to the precarious whim of the market; there are very few real hard-and-fast "rules," and you often stand to lose as much or more than you stand to gain.
Gambling, according to the Encyclopedia Britannica, is the betting or staking of something of value, with consciousness of risk and hope of gain, on the outcome of a game, a contest, or an uncertain event whose result may be determined by chance or accident or have an unexpected result by reason of the bettor's miscalculation.
Such a wide category actually does include anything from roulette to an insurance company. Or things as banal as forecasting the weather.
On the other hand, good investors should not have the same attitude as compulsive gamblers. There are investment formulas, technical indicators, and informed opinions as well as common sense involved in investing. Compulsive gamblers are merely impulsive and do not adequately analyze the risk of profits or losses. Good investors rely on these indicators to invest rather than becoming swayed by their own emotions. Good investors have discipline and a back-up plan in the event that the market does not perform according to their expectations, whereas compulsive gamblers are well, compulsive.
If you able to invest with the right attitude and character traits you will succeed to invest not only in money but it many other aspects of life that you choose to pursue. One great way of gaining profit as an investor, but not as a gambler, is with binary options. Good luck!
