Morality of trading: Gambling or business?

[hari09omkar]

Everything mustn't come into these two categories.For me trading is neither a business nor a gambling.It has a unique quality of being identified as a seperate 'work',which is ofcourse not an ethical block like gambling has,as the threadstarter pointed.

 

[beginner_av]

But difference is that in business its a win/win situation....

who gave you this idea Sir?

 

[SavantGarde]

Couple Of Points That Come To Mind Are:

1) You Are Your Own Boss

2) Results Are There To See Immediately

3) No Bosss To Get After You

4) No Trudging On Saturday To The Office....


SavantGarde

 

[Prabhjeet]

I think the main reason why morality of trading comes into question is becoz. unlike other businesses where people do a lot of physical hard work going for their jobs from 9 to 9 and look exhausted with the amount of energy they have spent whole day, here in trading it becomes a different ball game all together. We are competely free to have our timings of work, the amount of work we do and may be the no. of holidays we enjoy, this difference usually makes us and people around us feel that how can money be earned without any effort whereas if you are a sucessful trader, it requires a real hard work to be sucessful and its only us who know that how much of work it takes and nobody else. Trading is not as easy as rolling a dice and i think all you need to find whether you are a Trader or a Gambler is your Portfolio at the end of every year, if you are a gambler it would not take more than 2 years to wipe out the money regardless of the money you have put into your account. A sucessful trader usually has some profits to show at the end of each year.

Everything boils down to one simple thing that keeps on pinching us at the back of mind is whether its moral to make money without putting so much efffort as people in other business put. According to me if we are making money in market its because we are disciplined traders and we are putting the money of gamblers into our pockets, its our superior mental make up that is making money for us and not plain luck.

My conclusion is that if one is sucessful as a trader than he would do injustice to himself by not trading, after all not more than 10% of people in stock markets make money and if we are part of that 10% elite group why leave it.

Happy Trading

 

[mithoon]

I was initially focused on finding a strategy that would give me a fixed monthly return; it took me a long time to understand that Trading is very much like any business, following are the reasons why it is very much a business:
1)It is impossible to say in advance if a client will give you business or not ,same goes with trading ,it is impossible to say if a trade would go your way or not.
2)You will still have to entertain the client and give it your best and there will be cost incurred ,in trading there is a cost (SL)incurred to find out if the trade will go your way or not.
-In a manufacturing industry it would be operating cost and not every customer who comes to you will buy your product.
3)In business P n L is reviewed quarterly and in some cases depending the size of business ,weekly or monthly and not on a daily basis, just as in trading.
4)In business there will be good weeks not so good weeks and good months and not so good months and you wouldnt shop or change your strategy on weekly or a monthly basis, JUST AS IN TRADING.

 

[fxgood]

Biggest disadvantage of trading is it is addictive over time and you can't turn back to other basic jobs or business

 

[TradeJoker]

Cigarette,Liquor,Pan Marsala---- Govt. takes effort to stay away ppl from it.same gov. making huge revenue from it.