How can a little guy with small means make big profits in the stock market? After pondering on the toilet I have considered that considering uncertainties, time, transaction costs it is not feasible for the tiny absolute returns an investor makes. And this is not taking taxes into account!
My theory is basically economies of scale. Transaction costs and cost of living are assumed to be constant so even with a small rate of return the absolute return is significant.
Am I missing something?
2007-03-13
18:18:33
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4 answers
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asked by
Anonymous
in
Business & Finance
➔ Investing