Quote:
|
Originally Posted by Benny
Whats the difference in investing on the races and just plain gambling on them.
Can someone answer this rather puzzeling question?
benny
|
Hi Benny,
Similar to the previous post, this is what I believe is the difference....
All investment is a gamble, be it term deposits with the bank, real estate, shares, racehorse ownership or punting.
The degree of risk is the only thing that makes the difference.
IF you have done your research, and know the odds of making a dollar are in your favour, then this is investing. When the odds are not in your favour, this is gambling.
But there is an element of risk in any financial endeavour.
Punting has long been looked down upon as the worst form of gambling (worst return - most risk), but I don't agree.
I would rather do my research and punt on a horse which is part of a longterm winning system, than buy a house in an area I knew nothing about, or invest in a stock, because it "looks" o.k.
BTW - The worst return is racehorse ownership, unless you have bags of money to build up a solid stable of of well bred horses. Buying one or two horses with good breeding brings lots of joy, but little financial return unless you fluke a champion.