Wednesday, 1 October 2014

Gambling: The Illusion of Investment

Reinhold Niebuhr wrote a prayer that many of us recognize. It goes roughly: “Grant me the serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to know the difference.”
 
So what does this have to do with investment?
 
Well, a lot. But that is not my main point. My main point is that I view with regret the way betting companies are mushrooming around Harare.How many young men have taken to gambling, sports betting mainly? Quite a number. Coming back to the prayer; what exactly can you do about gambling that will enhance your chances of winning? The gambler will say you increase your odds by increasing your stakes. Well, thats not true. By increasing your stakes, you are in fact magnifying your losses. The only person benefitting here is the casino owner, who of course is a businessman who can do a lot to change his income and increase his 'odds' by statistically setting the casino results against you. Do you know that the odds you bet on are scientifically configured to make sure that the gambler does not win, overall? 
 
Allow me to make a bold statement here: Gambling is not investment! In gambling you do not determine your return. Be wise, do not fall for this illusion. Save your money and have your financial future in your hands. You cannot change the result of a game played in London, you cannot change the odds offered by the sports betting shop, you do not know whats beneath that scratch card, so why spend your hard-earned cash chasing the illusion of winning? That's what it is, just an illusion sold to the gullible. 
 
Start planning and invest your money wisely. And QUIT gambling!

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