Is The Stock Market Risky? How Risk ACTUALLY Works…

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Have you heard that the stock market is risky and should be avoided? First off, yes, the stock market (like any financial market, including real estate) has risks associated with it. With that being said, just because the stock market has inherent risks does not mean it’s a dangerous place. If you are a beginner to the stock market and don’t treat it with the respect it deserves, then yes, it is a very dangerous place due to the risk and should be completely avoided. However, if you are someone who is just getting started in the stock market and want to be respectful of it and learn how the stock market works in a smart way, then you should definitely not be avoiding it! Through my years of being on YouTube (since 2013), there is a common line of logic that is being applied to risk that is incorrect. What makes this logic understandable is, mathematically speaking, it’s true. But this is where we need to take that extra step into learning more about the stock market and how not everything is as it appears. When it comes to risk, we need to look at how the risk we as traders and investors behaves in a practical and “real world” way of investing. When you begin to understand how risk actually works, trading and investing begins to become much more clearer. Clarity is a good thing and that’s what I’m looking to accomplish here when it comes to the stock market and how risk actually works.

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