Is stock market a casino?

Stock markets are places where individuals, business personalities, and institutional investors collectively buy or sell shares in different companies available in a stock marketplace. But, what makes stock markets so unique and casino-like in contemporary times? Well, its unpredictability makes it attractive. Its variant nature to either rise above the skies or to adopt a steep dive to the grounds. This phenomenon of unforeseeable change in the value of shares attracts people to invest in it and try their luck as in the casinos. But were these stock markets always so uncertain? Or variance is only in the current age? Let’s unfold this mystery.

Was it always so unpredictable & casino-like?
What started as a trading venture in limited areas by the Dutch East India Company in 1602, this new way of investments, buy, or sell, became slowly and gradually popular in powerful countries of that time, i.e., France, Portugal, Spain, England, and the U.S.A. The importance of the stock exchange business was increasing, and so was the investment. Therefore, it was the need of the hour to convert this way of trading into an organized marketplace. So, the necessity ultimately gave birth to the London Stock Exchange in 1773 and the New York Stock and Exchange Board in 1817.
However, this newly built marketplace was not as unpredictable as it is in the current scenario; people, in the developing years of the stock exchange, came into its buying and selling stock mechanism- to own a business enterprise’s profits or losses. Whatever a company, whose shares are available in a stock market, owns or owes is linked with its stocks. This idea lured many investors as, due to the industrial revolution, most industrial companies were making a large profit.

What makes stock exchange marketplaces so unforeseeable in the current age?
In a popular Hollywood movie, Wolf of Wall Street, Mark Hanna rightly says,
Nobody knows if a stock is going to go up, down, sideways or in circles.
Stock markets are an alternate form of casinos, and a shortcut to becoming rich is a popular thought among many nowadays. It is a source of excitement for many due to its uncertainty and uncertain behavior.
However, the cause of this uncertainty is not so uncertain. We should keep in mind the simple supply and demand rule in understanding the sudden rise or fall in the value of stock exchange shares of a company. If you increase the demand for any object, its price will automatically rise, and vice versa. Similarly, stock market shares of any brand or company are bought or sold by investors keeping in view its growth or downfall. More progressive is the company value, more will be its demand; henceforth, rise in its stocks. On the contrary, stock market shares fall into a steep dive if the productivity is experiencing a hard patch.
Besides, each country has its stock exchange market. Therefore, due to the wide variety and options available for stock exchange investments, these markets tend to be more attractive and different from one another. So, to add to this attractiveness, a few of them also practice an engineered rise & fall of stocks to make it look like an exciting marketplace to fund in it.

Final Thought
You may believe that these stock exchange marketplaces are casino-like and another form of gambling. However, it has its positive side also. Modern industrial productions would not be a reality if these stock exchange investments did not come to the rescue. Companies and industries need heavy funding to pursue new projects for development; one of the major causes of modern-day industrial products is stock exchange investments. People keep faith in industries by putting their money in shares and stocks. These are a good source of funding for new industrial ventures.
In addition to this, these are a source of entertainment for many, as we see in casinos or gambling. Isn’t it good to play in a gambling spot whereby putting your money; you also support your country by investing in the companies? We believe it is.

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