(02-02-2021, 08:08 AM)StroudCrowd1 Wrote:

(02-02-2021, 07:30 AM)The Real Marty Wrote: I suppose there's nothing wrong with the average person gambling their money away if they want to.  When a stock is overvalued, smart money gets out.  When a stock is undervalued, smart money gets in.  

I think a lot of people don't understand what the stock market is, how it operates, and what buying stock really means.  This includes people who think they can "#saveAMC" by buying the stock.  Maybe they can save AMC investors by enabling them to sell out at a higher price that they would have otherwise.  But buying AMC stock does absolutely nothing to put butts in theater seats.  

The "GME phenomenon" is just a pump and dump scheme.  Someone is going to buy low and sell high, and someone else is going to buy high and sell low.  I would bet the average person who tries to cash in on the GME thing is going to buy high and sell low.  Someone was buying GME at 469.  Someone else was selling GME at 469.

If you want to make money in the stock market, there's a really easy, completely reliable way to do it, that involves little effort and no risk whatsoever.  Buy an index fund and forget about it for 20 or 30 years.

You are a danger to people suggesting there is a no risk way to make money in the stock market. That is a total lie.

The S&P 500 has never lost money over a 20 year period since 1928.  Pick any date, and 20 years later the market is above where it was on that date.  The average annual return is 10%.  The worst 30 year period, the average annual return was 4.3%, even after inflation. 

I suppose an asteroid could hit the earth and wipe us all out, so if you want me to amend my statement about "no risk whatsoever," I will change it to "very minimal risk."

There is short term risk, it does fluctuate.  But very little long term risk if you have the nerve and the patience to buy an index and just forget about it.  Risk comes in when people try to beat the market.

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