The financial sector is the one market in which vast amounts of wealth are being accumulated at mind-blowingly rapid rates which other industries can only ever dream of. The tech sector comes in at a close second, but if you don’t come up with something that takes the world by storm (think Microsoft, Google, Facebook, Oracle, etc) then you can still make some good money, but not to the scale of what people are raking in, in the financial industry.
Think about it — there are some seriously wealthy brokers; mere brokers whom you’ve probably never even heard of, but they’re taking home huge sums of money every single year. The same goes for bankers — it’s simply a matter of getting the masses to participate in some or other financial activity and then charging them for it. The charges are often so tiny that as an individual you barely even notice them, but they happen at such huge volumes and high frequencies that they add up to millions and even billions very quickly.
Let’s take CFD trading as an example. If you have a CFD trading platform which is a modest 20 000 members strong, with each of those traders charged only £0.50 per trade, if an equally modest total of 1,000 take place in an hour on average, that’s £500 per hour for the broker operating the platform. Bear in mind these are extremely modest numbers, so you can just imagine how much money a broker can make.
This leads us to the burning question of just how much does one really spend when playing the financial markets. I mean there’s the apparent cost associated with a straight forward trade, i.e. a stock’s price is quoted at a certain level and so you put a bid in to buy that stock (or rather a contract for differences on that stock’s price) expecting to pay that exact price, but that’s not how it works, is it?
Lots of other added costs come into play, such as how much more you have to pay for a better internet connection which will allow you to trade with no interruptions, monthly brokerage fees for using the platform, withdrawal fees, deposit fees (bank charges), etc.
So it costs quite a bit to play the financial markets — more than what is suggested, which is why I honestly believe that something like sport betting sometimes makes for a better option if you want to try your luck and take your shot at making some big bucks. Think about it — perhaps the same amount of “analysis” needs to be put into sports betting as required for playing the markets through something like CFD trading. The only difference is with putting money on the outcomes of sports results, you know exactly why you win or lose, as opposed to what they say goes on in the financial markets, like “sentiment” and “confidence” determining the direction and movement of share prices.
You’ll have no service brokerage fees to have to pay and you can in fact benefit from special promotions like deposit bonuses and the likes.