Infinity asked in Social ScienceEconomics · 9 months ago

Would the world be a better place if everyone publicly recommended what stocks to invest in?

For example, one person recommends to short sell GE. Another person recommends short selling Kraft. Would the world be a better place if more people made such recommendations?

10 Answers

Relevance
  • 9 months ago

    No, it would not be. If that were the case, everyone would be on the same playing field. There has to be winners and losers for society to function. There’s no such thing as a free lunch.

    • Commenter avatarLogin to reply the answers
  • 9 months ago

    What good would this do??  Most joe & jane six-packs aren't experts in the picking of stocks.  

    • Commenter avatarLogin to reply the answers
  • Oiy
    Lv 6
    9 months ago

    No, not at all. The story from mouth to mouth will force the trade in the wrong direction. It's too simple. I said you should short sell GE because I will get in and buy the GE at the lowest price.

    • ...Show all comments
    • Infinity
      Lv 5
      9 months agoReport

      Yet, the overall story, which has been published extensively for years, is that GE is imploding.

    • Commenter avatarLogin to reply the answers
  • Zirp
    Lv 7
    9 months ago

    The world would be a better place without investment-games and speculating.

    • Infinity
      Lv 5
      9 months agoReport

      Investment games?

    • Commenter avatarLogin to reply the answers
  • How do you think about the answers? You can sign in to vote the answer.
  • 9 months ago

    I am not much of an economist, but commonsense is inclining me to think that wouldn't be a good thing. If every one had interest in one stock, the stock value would decrease. Why? Because the more people with interest, the greater the demand, the lower the value. I don't know if this is true or not, but it is what I am inclined to think. There are few smart guys over in the economy section that would be happy to make sense of this for you.

    One thing that I think works when it comes to investments is having a knowledge of what is going to be in HIGH demand in the near future. I have never had enough money to invest in anything other than myself. But if I ever came up with enough money, I would talk to investors and try to understand which investments would be the best. That's my two cents.

    • Commenter avatarLogin to reply the answers
  • 9 months ago

    1000s of people are making those recommendations every day.

    • Infinity
      Lv 5
      9 months agoReport

      How many of them are acting in good faith?

    • Commenter avatarLogin to reply the answers
  • Anonymous
    9 months ago

    Of course not.

    Selling short is a gamble on the future of a stock to go down.

    It can either be correct or it can be wrong. But it can also *drive* the loss, by making people think that the company is in bad shape where it may not be, and ends up hurting the company.

    Now, either more people make the same recommendation, or more people would make different recommendations. If people make contradictory recommendations, it would be the same as if no one said anything, because you'd have no way of knowing who to trust.

    And if everyone made the same recommendation, it would be like knowing in advance what numbers the next lotto draw would be, so that everyone would play the same numbers, with the result that the $1 million prize would be divided among 2 million people, therefore earning 50 cents while the ticket was $1.

    You did not really think this through, did you?

    You must be a Trump supporter...

    Edit: what is your point? If GE and Kraft are going down, and everyone sells short, no one will be buying. It is like trying to sell losing used lottery tickets; no matter how cheap, it would be too expensive.

    • Infinity
      Lv 5
      9 months agoReport

      Kraft and GE have very bad balance sheets. It's almost impossible for them to turn around.

    • Commenter avatarLogin to reply the answers
  • Anonymous
    9 months ago

    The stock market is a cutthroat place full of liars, manipulators, and would be pirates, do your own due diligence or stay out of the market.

    • Infinity
      Lv 5
      9 months agoReport

      It doesn't have to be that way.

    • Commenter avatarLogin to reply the answers
  • 9 months ago

    That recommendation will come a day after the real players have ALWAYS received that news.

    • ...Show all comments
    • Infinity
      Lv 5
      9 months agoReport

      Warren Buffet himself won a bet that indexes would outperform Hedge funds in 2007-2017. Perhaps a more open dialogue is what's needed.

    • Commenter avatarLogin to reply the answers
  • Anonymous
    9 months ago

    🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡🤡

    • Infinity
      Lv 5
      9 months agoReport

      No one person can think of everything.

    • Commenter avatarLogin to reply the answers
Still have questions? Get your answers by asking now.