Awake 200 10/8
A
In view of the risks associated with the stock market, is buying stock the same as gambling? A measure of risk is involved in nearly all financial investments. Some people buy real estate, not knowing if the value of a property will increase or decrease over time. Others deposit their money in a bank, trusting that their savings will be secure. While the stock market is more complicated, simply put, one who invests in stocks buys the shares of a company in the hope that the enterprise will prosper and the stocks will increase in value.
Such an investment differs from gambling because the stockholder has purchased part of a company. These shares may be sold to another person or saved in the hope of future growth. This cannot be said of a person who bets money at a casino or on a game of chance. Against the odds, the gambler seeks to predict an uncertain outcome and win the loser or losers’ stakes.
How much risk should an investor accept? That is up to each individual to decide. Of course, it is not prudent to risk more money on an investment than one is willing to lose.
It also states the following
By considering the background of a company, an investor can also ensure that his money will not be used to support an unethical enterprise.—See Awake!, February 8, 1962, pages 21-3.
Facts
You can lose all your money invested unlike banks where you will generally retain your initial investment. Also, investing in real estate means you have bought a physical asset which you rarely lose.
Gains are often made at the losses of someone else unless the shares have always increased in value
There are brokers fees involved (which is the 'houses' take)
In theory you may have purchased a share in part of a company but the irratic behoviour of shares demonstrates that there are times when it has little to do with the value of the company
As for researching a company, there is no way of controlling unethical behaviour or the use of monies for unchristian activities