They cannot be trusted, Look at the Gamestop situation. would you really want to put your money into any stock? more secure assets are better.
This is more a theoretical article, rather than something factual. It has been roughly one week since the whole incident with Robinhood and Gamestop (as well as others), and we have learned so much about how stock trading works since then. For better or worse, the stock market controls much of the economy, and is here to stay in its’ current form for many more years to come. In light of recent events however, this does create an interesting problem. What’s next?
The problem with Robinhood, Hedge Funds and the stock market in general is that its’ being manipulated. Constantly. Robinhood came to prominence under the promise of helping the little guy make big boy trades like all the pros, and all right from their smart phones! This ‘steal form the rich, give to the poor’ moto that they had going on was working for years, as they did have a substantial market share in the mobile trading sector. But we all know what’s going on now. Everyone has questions, and wants to know how legitimate the entire system is. When the market crashes (it does regularly, and can be expected) and millions lose their pensions, assets, and investments…why does it?
This video only talk slightly about the Robinhood/Gamestop situation, but it mostly talks about the stock market in general, and its’ undeniable manipulation. Take a look:
So why point these flaws out? Well because we wouldn’t be doing our jobs if we didn’t. We at BuyerTrading.com truly believe that investing too much into the stock market is very risky (obviously). Although the market is consistently growing, and providing returns of over decades (in 2020 the market grew by 16.26% ), the question is, when will with the next crash be? Why even are there crashes? Why should someone invest into a system that is guaranteed to crash at some point?
These are all questions that may seem moot, but try asking them to someone who lost their entire life saving in the 2008 crash. Isn’t it preventable? YES! And no.
You see, we know the market will crash. And after it does, it will crash again years down the line. When? Too hard to tell, we just know it will. Look at the crash that caused the Great Depression in 1928. Then again, the Kennedy crash in the early 60’s, then again then collapse of the tech bubble which caused a short crash in 2000, then again in the housing market crash of 2008 , now lastly, in COVID-19 era 2019-2020, where we see high market volatility.
Point being, the market has highs and lows throughout the decades, and these highs and lows will increase in fluctuation as the market becomes more centralized and dependent on technology and renewable resources. As long as private entities keep becoming larger and larger, we can expect to feel the burn of the mistakes much more harshly.
Invest in the market wisely, and under constant fear of a crash, and you will always be profitable. Take advantage of when the market crashes, for INSANE returns. ave your funds ready for the next crash, and keep on the lookout for periods where the market is obviously over-inflated and doomed to crash soon *ahem* *ahem*.