Money and Honey

Personal Finance, Stock Market, Mutual Funds, Bonds and Investment Strategies.

Showing posts with label Speculation. Show all posts
Showing posts with label Speculation. Show all posts

Saturday, 9 January 2016

Never fool yourself into confusing "Speculation" with "Investment"

Why do you suppose the brokers on the floor of the Stock Exchange always cheer at the sound of the closing bell - no matter what the market did that day? Because whenever you trade, they make money - whether you did or not. By speculating instead of investing, you lower your own odds of building wealth and raise someone else's. According to Benjamin Graham “An investment operation is one which, upon thorough analysis, promises safety of...