Market Myths - Essay Example

Only on StudentShare

Extract of sample
Market Myths

Myth Number One is that some people equate investing in the stock market to gambling with their money. As a result of this fallacy, a significant number of individuals avoid the stock market. An understanding of the reasoning behind purchasing stocks needs to be well-known in order for an individual to understand how investing in them is different from gambling. It is important to remember that a share of stock represents partial ownership in a company, and it gives the person who owns the stock some of the profits that the company makes and allows that individual to share assets (Investopedia, 2008, pg. 1).
"Too often, investors think of shares as simply a trading vehicle, and they forget that stock represents the ownership of a company. In the stock market, investors are constantly trying to assess the profit that will be left over for shareholders. This is why stock prices fluctuate. The outlook for business conditions is always changing, and so are the future earnings of a company" (Investopedia, 2008, pg. 1).
It is a rather daunting task to determine the value of a company at any given point. The Random Walk Theory applies, and this theory states that "there are so many variables involved that the short-term price movements appear to be random (Investopedia, 2008, pg. 1). ...Show more

Summary

Investopedia (2002, pg. 1) claims that, "When fiascos like the Enron bankruptcy,auditing scandals and analysts' conflict of interest occur, investor confidence can beat an all-time low. Many investors are wonder whether or not investing in stocks is worth all the hassle…
Author : mattiemuller
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Market Myths"
with a personal 20% discount.
Grab the best paper

Related Essays

The Myths of Marijuana
Perhaps, there would be no other products as mystified as marijuana. Importantly, the myths of Marijuana are taken for granted even for people who do not normally go by a quite often misleading notion of common sense. The mystification of marijuana is emboldened as the commercialization of it as a valuable product goes unhindered.
5 pages (1250 words) Essay
Creation Myths
Although the myths follow distinctive storylines, many of the themes included in the Babylonian, Egyptian and Greek creation myths are similar and indicative of the cultural setting of the civilizations where the myths originated. Despite the geographical separation, there are several themes and elements that are common among the three creation myths.
3 pages (750 words) Essay
Launch of Cosmetic Industry in Dubai
As per recent statistics, there has been a category growth of 12% annually and the market wide revenue for the segment is expected to grow from 1.7 billion USD to 2.1 billion for the current fiscal. This can be attributed to a higher population of working females who are spending more on beauty products and cosmetics.
15 pages (3750 words) Case Study
Comparison of Male and Female Psychology
Gender roles are a long debated topic among theorists. Carl Jung, a student of Freud, proposed several theories on the roles of men and women in dreams. He believed that the themes of myths are repeated universally in different versions and that these themes are also evident in human dreams, supporting his theory of archetypes.
5 pages (1250 words) Essay
Myths as Roman History
In fact myths often exist in multiple forms with some alteration to meet particular needs. (Morford & Lenardon, 1985) Greeks originally develop the gods and heroes of classical mythology but were largely adopted by the Romans later on. Some of the examples are the Greek Zeus became the Roman Jupiter, the Greek Aphrodite became the Roman Venus, Odysseus became Ulysses, etc.
10 pages (2500 words) Essay
Myths of Objectivism and Subjectivism
Myths, the author notes are metaphorical, thus containing no solid "truth". So, if these theories are based on myth, they cannot be true. One of the main arguments in the text is that there is a "mistaken cultural assumption that the only alternative to objectivism is radical subjectivity." (185) So, society believes it is an either/or situation: that you either believe is objectivism, e.g.
2 pages (500 words) Book Report/Review
Sociology
The study of hate crimes and its understanding is important for the complex nature of those crimes and the psychological conflicts which result in
4 pages (1000 words) Essay
Myths and Narratives: The Origin of the Humanities
It is a custom round the world, for nurtures, to read or tell a tale to their offspring, prior to switching off the bed time lamp. In majority cases, such narratives or stories furnish the objective to entertain a child as well as widen their creative skills by imagining the
3 pages (750 words) Research Paper
Modern Myths
The society’s cultural myths convey the religious and shared experience. It also explains society’s belonging, practical and moral lessons. Myths fall into different categories. Furthermore, different societies give and
2 pages (500 words) Essay
Find out how much would it cost
to get a custom paper written by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email
YOUR PRIZE:
Apply my DISCOUNT