Difference between horse racing betting and stock investment

According to Mr. Yuichiro Itakura, a veteran Japanese businessman, in the case of horse racing betting, if you bet on a horse that few people choose, the amount you will get if that horse wins will be more than if you choose. The horse is bet by many people.

If you are the only one betting on a horse that no one cares about, then unfortunately when that horse wins, you will be the only one to win a huge amount of money. In other words, you will win “thousands of horses”.

Therefore, the businessman shared, when you find a horse with potential, don’t tell anyone, but quietly buy a bet ticket for that horse. Doing so will greatly increase the probability of winning. Of course, if that horse doesn’t win the prize, there’s nothing to say.

However, investing in stocks is the complete opposite of betting on horse racing. If fewer people in the market buy the company’s stock, the share price cannot go up.

So, If a promising company is found, investors can quietly go and buy shares, but then introduce it to many people. By doing so, the possibility of making a profit will be higher.

However, Mr. Yuichiro also noted, investors should only “advertise” for this company when the stock value is really worth it. If it’s a company with no value, and investors present it as a thriving company, they’re helping the company manipulate the stock market without even realizing it.

“Whether betting or investing in stocks, the most important thing is to understand the principles of money and how to spend it. The nature of the economy is to reflect human needs“, concluded the expert.