Warren Buffett, one of the richest people in the world, used to say, "The stock market is a device for transferring money from the impatient to the patient”. It is simply a way of investing! But, how can people do that? What are the possibilities for the patient ones?
Nowadays, there are many types of trading, especially in the financial/stock markets. In the financial market, you can buy and sell financial assets like commodities and currencies. Also, Forex and Binary Options are famous types of trading. It is common to find on the internet many “brokers”, companies with online platforms for trading, offering the opportunity for investing in these markets.
It does not matter which type of investment you are doing, from Forex to stocks, you will need to study a lot about the market and learn different types of analysis and tools that can improve the tradings. The financial market is constantly oscillating, so, traders have to be aware that losing money, will be inevitable. In this context, it will be possible to differentiate the patient to the impatient people as quoted by Warren Buffet. The patient people will be always looking for new strategies and ways for increasing their profits. While the impatient will give up on the first try.
It is a known fact that betting is the act of investing money on the outcome of an event, that can be football, races, etc. When you make the right prediction, you will earn money based on the odd you invested. In this market, the bettor will need to understand about the event he is investing and also make some analysis of the possible outcomes.
Although it is possible to make a big amount of money quick, it can happen once in a lifetime. There are bettors investing in high odds in order to make money fast, and gamblers that prefer to make small investments and have long term profit, as you can read in our article. Even for betting the concept of Warren Buffet applies, here it is also possible to notice the “patient”, people looking for long term profit and the “impatient”, people looking for fast results with big profits.
Besides that, in the betting world, it is also possible to be a trader. It is called “Sports Trading”, and in this market, you can negotiate odds like in the stock market. Instead of buying and selling shares of a company, you can buy and sell bets on sporting events. Certainly, if we compare sports betting with trading, betting seems easier and will not require from you so much training and analysis as the trading does.
As exposed above, in the stock market (or Crypto or any other) traders are competing by predicting the future. This has nothing to do with luck; It is hard work! There are many analyses, tracking, and studies that need to be done. The goal is to be better than the majority and it is no different in sports betting.
Of course, luck is playing a role in sports betting. Many people are posting on social media their winnings of 100x odds, and they really do! The thing is, they don’t post 100 following losing bets, And they lose much more than win. It is hard to see a gambler that stopped betting after winning a fortune, maybe, no one has.
Furthermore, when you are betting regularly, your outcome will be determined by statistics and the Law of large numbers, not luck. For that reason, it makes more sense to look at the betting like on trading market. As an example, most professional punters are using Bet Exchanges, which exactly behave like trading platforms.
Pay attention, because over time, in trading or betting, the majority of gamblers will lose money to the minority. If you are willing to start winning you should honestly ask yourself “What does make me better in predicting sports than the majority of other bettors?”.
Now that you know the difference between trading and betting, which market do you find more interesting for long term profits? Share your opinion with us!
The idea to beat a bookie is misleading. One gambler is winning money lost by another gambler. Bookmakers are only balancing “books” using odds and charging “a margin”. If you want to win, you have to be better than the MAJORITY of the market.
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