Investing in the stock market isn’t completely foolproof.
I recently talked about this comparison in a conversation withLaurie Itkin, financial advisor andauthor.
She mentioned that the comparison doesn’t make sense for many reasons, but mainly because of the odds.
When youinvest properly, and follow somebasic rules, the odds are highly in your favor.
But that’s not the case with gambling.
That’s $260 a year or $5,200 after 20 years.
Will you hit the lottery?
Perhaps,
but your odds of winning are extremely low
.
The U.S. stock market on average returns about 8% a year.
This isn’t to say there’s absolutely no risk involved with investing.
And that risk, despite the explanation and the odds, might be too much for some.
Maybe you don’t want to be at the mercy of the market.
But, keep in mind, you’re still at themercy of inflation.
Without investing, that could end up costing you.
Need even more convincing?
Check out this lengthy argument fromInvestorGuide.
