Stock Market Investment: Reliable or Gambling

There is an old metaphor saying, “Money makes money”. This can be literally applied now a days to capital generation through stock market investment. Generally, people have savings in the form of cash or jewelry. But it is going to do nothing if the economy gets hit with inflation or currency value falls. So, what can be a safe investment which is reliable as well as productive? Well the answer is stock market investment. The stock market comprises of a system where partnership or shares of publicly trading companies are bought, issued and sold. But for a few people it is no better than a dark chasm and nebulous casino of savings gambling. Contrary to the common thinking, the stock market is a far better investment option than classical investment areas like fixed deposits and gold bonds.

Basics one should learn before starting stock market investments

It is a great pain to lose money and that’s why nobody wants to lose their savings collected by hard work. Moreover, some people have a greater investment threshold than others. If a person is considering to divert his/ her savings as stock market investment and he is upset about the loss that might occur, he shouldn’t have invested in the first place. However, before investing one should have his mind clearly on a few things.

Here an investor sells any particular security owned by him too, another who is interested in buying it. Since both the investors cannot be absolutely correct, it can be called an adversarial system. For better understanding we can assume that, one investor will be profited and the other will definitely suffer loss.

The opinion of major investors, natural calamities, political and social instability, demand and supply, risk, and the abundance of or lack of alternatives. These factors compile with the relevant information released, which create a general sentiment (i.e. Bearish and bullish) thus influencing corresponding buyers & sellers.

Real profit lies in the price gradient of buying and selling a stock. The best time for buying is when other investors are pessimistic. Concurrently, the best time for selling is when other investors are optimistic.

Pros and cons of stock market investment

Similar to any other investment option, the stock market has its advantages and disadvantages too.

Advantages

1. Great opportunity of extremely good returns in a short time window.

2. Minority ownership. It may sound like exaggeration, but putting money in the stocks of a reputed company also makes the person a part owner of the firm. It doesn’t matter if the investment was large or small.

Disadvantages

1. Brokerage commissions. Every time a person trades his shares, he becomes liable to pay a certain amount to the stockbroker’s commission and it kills the margin of the profit.

2. Time consuming. Investing in the market is not same as putting money to win a lottery. Here one has to fulfill multiple formalities, hence it becomes time consuming.

Maori and Pasifika Problem Gambling in New Zealand

In many countries around the world, ethnic background plays a major in determining an individual’s risk of becoming a problem gambler. In New Zealand specifically, individuals of Maori and Pasifika descent are more likely to develop gambling addictions than any other local residents.

According to statistics, Maori individuals are 3.5 times more likely to become problem gamblers than any other ethnic group in New Zealand. However, this is a fairly recent phenomenon; in fact, there is no Maori word for ‘gambling’. It was not until the 1980s that gambling emerged as a popular pastime among the Maori community, but the introduction of the activity had a huge impact. The Ministry of Health estimates that 1 in 16 Maori males and 1 in 24 Maori females are problem gamblers while a third of the population is at risk.

More than 80% Maori problem gamblers were first introduced to the activity at home at an early age. Card games are quite a popular family pastime but, they can be harmful when money is involved. Studies show that children who are exposed to gambling are more likely to develop unhealthy habits later on in life – and that certainly seems to be the case in the Maori community.

It is also believed that local gambling operators have played a role in the spread of gambling addiction among Maoris. ‘Maraes’ are sacred areas where the Maori culture can be celebrated, and on display in many of these locations are plaques and signs advertising the local lottery commission and other gaming trusts. Casino operators also used their d├ęcor to attract Maori individuals, featuring carvings and art specific to the culture.

The Pasifika community (including individuals from Samoa, Tonga, Cook Islands and Fiji) have experienced the same struggle with problem gambling in New Zealand casinos. There are fewer problem gamblers in this community, but they spend significantly more money on the vice. While Maori gamblers spend nearly $2000 on the activity every year, Pasifika players spend $13 000 on gambling annually.

According to studies conducted by New Zealand’s Problem Gambling Foundation, unemployment and low-income levels were to blame for the high problem gambling rates in these communities A survey revealed that Samoans and Tongans gamble to fulfill their households’ financial needs, and that an increase employment opportunities could potentially lower problem gambling rates. Concerns have also been raised that there is a high concentration poker machines in low-income areas, encouraging more Pasifika individuals to gamble. Members of these communities agree that easy access to pokies is likely behind the increase in problem gambling rates.

Cordish Plans to Open Temporary Gambling House In the Garage Early Next Year

David Cordish, the developer of the upcoming largest casino in Maryland said that they have a plan to install 2000 slot machines on the ground floor to run their casino business on a temporary basis. The projected time for the opening of the temporary casino is late 2011.

Joe Weinberg, director of development for the Baltimore-based Cordish Cos told the state’s Video Lottery Facility Location Commission, “To expedite the project, we looked at a lot of different options”. “We’ve been using the word temporary, but this is really a phasing in of the permanent project.”

Though the temporary casino would contain only half of the total proposed slot machines, it would still be the largest gambling house of Maryland. The services that will be provided at the garage parlor will be of high standard.

Cordish Cos. has a plan to construct the building in two phases. The first level is the garage which will hold half of the authorized 4750 slot machines and include a bar and a buffet.

But the more anticipating features like Cheesecake Factory, a Rams Head-brand live music venue and a Bobby Flay restaurant will be available in the final building. The garage will be opened for parking vehicles after the second phase of construction is finished. The estimated time for the construction to be finished is one year after the completion of first phase.

Some people wanted Cordish to build a temporary tent-like facility as they did so in the time of constructing Indiana Live! Casino. But the slot commission said that same plan might not be successful here at Maryland. That’s why they wanted to present the customers with a permanent structure rather than a tent-like short term gambling house.

Rick Abbruzzese, a spokesman for Gov. Martin O’Malley, also sounded upbeat about the Cordish proposal.

The application of the Cordish’s permanent casino is under process and expected to be approved by early next year but they have not submitted the application for their short term garage casino.

Some changes might come in the plan of the Maryland Live! Casino. The initial plan was to build a casino of 200000 square feet area consisting of a six-story garage with 4000 parking spaces.

Commissioner Linda Read asked the number of workers needed during the construction process of the first phase.

The country council approved the zone for casino a year ago and fifty six percent country voters approved the referendum on November 02, 2010. But before approval people who were against the casino did a petition.

Mini-Baccarat – The Unsung Hero of Casino Gambling

The European version of Baccarat has been around 150 years give or take. It’s distant cousin, Chemin De Fer, played under an entirely different set of rules is far older and was a game favored by Europe’s royalty and wealthy industrialists. This is most likely where it got the mystique of elegance as an exclusively “high roller’s” game.

In the mid 1950’s Tommy Renzoni ran the Baccarat game at the Capri Hotel & Casino in Havana, Cuba. It was said he discovered that particular variation of the game being played in Argentina at the time.

In those days the mob ran the casinos in Havana and it was a popular resort for the very wealthy and Hollywood’s elite. In 1959 when Castro overthrew the Batista regime, he promptly closed the casino doors and the mob was forced out of Cuba. They had a sweet deal for a while but all good things must end.

The timing was perfect though, because Tommy Renzoni was brought in for the opening of the Sands Hotel & Casino in Las Vegas to run their Baccarat game. So it was Renzoni, through a stroke of fortune, who introduced the American version of Baccarat to Vegas that is played today.

The American version of the game is as simple as they come. You choose to wager on either the “bank” hand or the “player” hand. Pretty much a coin toss. The only other choice would be to bet on a tie hand appearing (a bet no sane person would make although I see it done all the time). It’s an even money bet on either side with the exception of a small commission charged on winning bank hands.

The reason for this is that the rules of the game favor the bank hand winning slightly more often than the player hand. Without the 5% commission the outcome would be tilted toward the bank side.

The object of the game is to get closest to a 9 total. All tens and face cards have a zero value, therefore a 5 and a queen would be a total of 5. There is no need to even know the rules governing the drawing of cards because they are completely automatic and procedures are directed by the dealers and pit bosses.

Compared to craps, blackjack, roulette or even poker, there are no complicated decisions to make. Decide on the amount of your wager and which side to bet on. Nothing could be simpler.

It is the aura that surrounds the game which tends to make it seem off limits to most casino goers. It’s been portrayed through stories of high rollers and in James Bond (007) movies over the years as the hero playing against the evil villain. Keep in mind, all the players are betting against the casino, not against each other. Although the roped off table areas and high stakes table limits can be somewhat intimidating.

Enter Mini-Baccarat. The casinos, always on the look out to make a buck, devised the mini-baccarat table as a way to make it more accessible to the average casino patron. It seemed to work although it still hasn’t garnered the wide spread acceptance of the more well known table games.

Betting Systems

In reality, mini-baccarat is ideally suited for most playing and betting systems that do well in an even-money, win/lose environment. Because there can be only one of two outcomes, betting systems that depend on a parlay (doubling up) of wagers tend to do well.

It is common to see runs of 2, 3, 4 & 5 on either bank or player hands. I was playing the Tropicana one night and witnessed an incredible run of 22 consecutive “bank” hands. Luckily, having the sense and instinct to jump on a winning streak after the fourth bank win, I was able to capture 18 straight wins. Needless to say, it was a very good night. That’s an extraordinary run but the game does lend itself well to streaks on both sides.

If you toss a coin you have a 1 to 1 chance of correctly calling the outcome. If a player were to parlay their first win (playing for 2 consecutive wins), they have a 1 in 3 chance of winning that wager. If successful, the player would receive a 3 to 1 payoff. $10 parlayed on two wins would become $40. The odds on calling two consecutive outcomes correctly is 3 to 1.

Playing for three consecutive wins would reduce the player’s winning wagers but the payoff would jump to 7 to 1. A $10 wager would return $80.

Another sound betting system calls for a gradual increase of winning bets. This effectively takes advantage of any extended run of wins that will undoubtedly occur and protect the player’s capital if the outcome is “choppy.”

This type of betting sequence would look like this:

10, 15, 20, 25, 30, 40, 50

No wager after the second one in the series would produce a loss for the player.

Following the 1st bet the player is risking $5 and betting $15;

After winning the third bet the player is up $20 betting 25;

On the fourth, the player is up $40 wagering $30;

On the fifth, the player is ahead $65 betting $40;

A series of 7 wins would return $150 and still have a $50 wager as the next bet. All with a starting wager of $10. Following any loss the player reverts back to the starting $10 bet.

With this method the player is increasing their bets with winnings while maintaining a low minimum bet during losing hands. This is the type of smart money management used by professional gamblers that takes full advantage of winning cycles while protecting their bankroll when losing. It insures that their winning bets will be substantially greater than their losing ones.

Although the hands are dealt at a rapid pace, I consider mini-baccarat to be an excellent game, especially for the beginner. It allows them to acclimate to the game and concentrate on their playing strategy and wagers without feeling intimidated by the big money action in the regular Baccarat pit.

If you’ve read any of the stuff I’ve written you know I’m a big fan of Baccarat. As for mini-baccarat, it’s the same game, same low house percentage, low minimums and gives the player a very good chance at some big wins. It might even pay for your next trip the casino.

Best of luck,

Ray W.