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0 pointsASalazarMX5y ago0 comments

Stock market is real for the few privileged insiders, the rest of us have modest profits or even loses that pay for someone else's profits.

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8 comments · 1 top-level

marcusverus5y ago· 7 in thread

Silliness. The market is effectively a free money machine for people who are capable of delaying gratification. The fact that most people are not capable of this is not the fault of the market.

And, for the record, the rich aren't getting better returns than the rest of us--the S&P beats the vast majority of Hedge Funds, year after year.

https://www.cnbc.com/2019/03/15/active-fund-managers-trail-t...

ClumsyPilot5y ago

"The market is effectively a free money machine"

That's clearly an absurdity and not physically possible.

Whatbwe do know is that every time we have QE 90% of the money ends up in financial markets, not real economy. This is a well known problem, and Yanis Varufakis has talked about it at length

marcusverus5y ago

>That's clearly an absurdity and not physically possible.

And yet the market has averaged a 7% annual return since 1870.

2 more replies

XorNot5y ago

Anyone who can consistently beat the market with the their process doesn't stay in the public investment game for long - why would they? They turn into self-funding private investment firms.

Jorge1o15y ago

GP is actully referring to just earning the market rate of return, not beating it.

Stocks for the Long Run and all that

dragonelite5y ago

It was like put money in x wait/monitor till it starts moving up or down lock in your maximum losses and your minimal profits with stop loss orders. I was kinda dumb strucked how easy it was to grow your initial input after the huge market drop in march and just by reading some blogs. Things will probably change after the corona pandemic.

Retric5y ago

Risk an opportunity costs is a major issue with that argument. In 1981 for example the 30 Year Treasury Rate was over 14% which significantly outperformed the stock market over that period. https://www.macrotrends.net/2521/30-year-treasury-bond-rate-...

eckmLJE5y ago

Half of Americans own stocks at all, and the rich don't have all their money in hedge funds.

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