Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: Dilbert56

You always have to pay the house. The state takes a bigger skim than Vegas, but if the odds look good to you (and 1 in 18 million isn’t particularly attractive to me) you know what the risk and the maximum payout will be.

But you’ve ignored the fact that you also pay the house to play the stock market. Although the discount brokers don’t skim as much as the old full service brokers used to, they are going to take their cut except in very narrow circumstances.


105 posted on 04/11/2015 7:36:56 AM PDT by PAR35
[ Post Reply | Private Reply | To 102 | View Replies ]


To: PAR35
But you’ve ignored the fact that you also pay the house to play the stock market. Although the discount brokers don’t skim as much as the old full service brokers used to, they are going to take their cut except in very narrow circumstances.

Outside of a $9.99 trading fee, where are they "skimming"?
107 posted on 04/11/2015 2:06:36 PM PDT by Red in Blue PA (war is peace, freedom is slavery, ignorance is strength, obama loves America)
[ Post Reply | Private Reply | To 105 | View Replies ]

To: PAR35

I was once a buy and hold kind of guy. Then I took a beating in a big market dip and learned my lesson. The lesson was buy lowm, take profits. Rinse and repeat. During years of extreme volatility and irrationality I park my money in fixed instruments. Currently those fixed instruments are yielding 3.5 to 4 points. I can live with that.


111 posted on 04/11/2015 6:16:42 PM PDT by jwalsh07
[ Post Reply | Private Reply | To 105 | View Replies ]

To: PAR35
...you also pay the house to play the stock market.

Yes, but the percentages in the funds we use are trivial compared to the 50% the state takes of the lottery. The basic difference to me is that, if you invested in the stock market (broadly, diversified) long term, you win. The more you play the lottery, the better the odds you'll have lost 50%. The only way to win there is to win big and then quit. You're right about the odds of that being astronomical.

Personally, I dislike our government pushing gambling as a revenue source and selling it as "for the children".

114 posted on 04/12/2015 6:01:24 AM PDT by Dilbert56
[ Post Reply | Private Reply | To 105 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson