Quetion to Investors/Traders.

[Alejandro12pte]

Hello everyone, I would like to ask about trading and investing. Do you consider trading and investing to be activities that contribute to society or humanity in some way?

On one hand, it´s true that companies can finance themselves through the stock market helping them make progress. So that would be good. But on the other hand, I know that if one trader makes money, that means some other trader loses money. That wouldn´t be so good.

I´m really thinking this through, because Leo really emphazises in having an impact on the world and I am currently studing Finance in a University. I originally started to study Finance two years ago with the goal of making a lot of money, but now I would like to do something that not only earns me money but also contributes in some way.

Any opinion would be much appreciated.

[7thLetter]

Not really. If you consider funding businesses through the stock market to be contributing to society then yes maybe.

Also its not always one retail trader vs another retail trader, its also retail traders vs banks, small & large businesses, etc. So in a way if one retail trader makes money, it could possibly be coming from the large banks.

I don't understand why this is a popular question in these forums, if you want to contribute to society then help educate people or something, or create a product that would do so.

[commie]

It is a sad commentary on this forum that I need to be the one to explain this...

On 7/10/2020 at 2:21 AM, Alejandro12pte said:

Do you consider trading and investing to be activities that contribute to society or humanity in some way?

You're not studying finance to play with your own money, are you?

Forget about profits and losses on a portfolio. IPOs aren't a big deal either (certainly compared to buybacks) and any fool can bet on equities. FX, fixed income and derivatives is where the most the important qualified work happens.

Recall what the function of financial markets is in the first place. How would this contemptible economic system function anywhere as well as it does without modern liquidity or indeed without ways to price risk? Do you also believe in the "invisible hand" or some other sky daddy drivel? Spreads do not grow on trees! This is work that people actually need to do. Even the software requires people to design and supervise it.

At the margin you might be able to do some ethical stuff or put together products that might help select small caps or EMs with market access. You could also potentially catch swindlers if you work sell-side. But really, simply keeping the machine running is a contribution already.

[montecristo]

@Alejandro12pte

make as much money as you possibly can and use it to contribute to a high consciousness goal. Money is power, power sees it's holder's will done. Too few people with high consciousness seek power and that is a huge problem.

[Iksander]

@Alejandro12pte Hello Alejandro I hope I am finding you in good health.

I am an investor, the natural and obvious answer to the question of whether or not trading/investing contributes to society/humanity is that of course it does, because it's inherently a financial contribution. Of course, depending on to what and how much you contribute are the primary factors that affect the degree to which you are contributing to society/humanity.

 

Now, if you are troubled over what would be a good or bad investment for humanity I won't comment but I will say that the best way to invest, like all things is to do it consciously! 

I Hope my response leads to some clarity for you my friend, be well

[Chakra Lion]

@Iksander That's a great Post. Like every aspect of life, it is your choice to do it with a clear heart or a dirty spirit.

 

On 7/9/2020 at 6:21 PM, Alejandro12pte said:

On one hand, it´s true that companies can finance themselves through the stock market helping them make progress. So that would be good. But on the other hand, I know that if one trader makes money, that means some other trader loses money. That wouldn´t be so good.

@Alejandro12pte It is a circulation of money, power, and focus of progress. All it takes is 51% switching from Car Giants like Ford & Chrysler over to Tesla. And suddenly Tesla is the most Valuable Car Company by FAR. And that change is beautiful, if you see it that way. That means we can push Society into the future we want to witness. Unlocking and awakening to new ideas and innovations that will build a new wave of growth for Society.

I see a future where we can use technology to 3D print anything, work and live comfortably free, eventually in space with our spaceship to visit Earth.

And I am investing in Companies that care for the Ethical Treatment of all Beings, including Earth itself. Clean Energy Stocks, Marijuana Stocks, Crypto, and whatever else I want to see in the future. And that is my greatest attempt at being aware of the future I am helping to build.

[Average Investor]

I think teaching people those things can create an impact, but not so much the investing itself. Most of the stuff the generates the most money is low conscious stuff. It is really easy to deceive yourself into thinking that something is really make a difference or is good to do. I have done it myself a lot with my past businesses. Especially once something is paying your bills every month. 

Investing is a good tool though to help free up people to enjoy life more and not being stuck working or grinding to make ends meet. I have thought about maybe in retirement opening up some kind of retreat or something if I do well on my investing. If I average close to 12% annually I would have about 6 million in retirement from investing if I am able to invest the amount I want and invest well enough. Granted I would want some wealth built up to sustain my expenses and such, but it would a cool way to use it. I am not really sure what I would do with millions of dollars aside from that. 

Edited July 14, 2020 by Average Investor