This why wall street are rich and you are poor

[DrBeer]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

U never use loaned funds just to buy things for u if u dont have ur own money enough.
First rule you use loaned money to make money.
Stocks and crypto u borrow always before bull run and sell ur assets even the real estate when markets are booming u pay back the loan u wait the market drops u repeat the process.

If anyone start doing this no profit for wall street wealthy guys anymore thats how powerful is investing money what u borrowed.

I'm sorry - but now you can do a "disservice" to people with weak nerves and a strong desire to get rich quickly! First of all, you need to know from whom and on what terms to borrow money. Secondly, you need to know when and what to buy. If you do not have all these 4 indicators, you will lose money and go into debt, nothing more. To begin with, you should generally study what the market is and how it works. By the way - it is worth borrowing money for education

The OP makes a good point, wall street and wealthy people borrow money
in order for that to make more money whereas common people borrow money
to buy stuff, to spend which ultimately decreases on value and it still has to be paid for.


Wealthy people know how to make money work for them, how to grow money
from someone elses money, what to invest in and how/when to make
and take profits in order to grow further wealth, they know how to pay the minimum
TAX too, they can afford to buy that information, but that information is not available to all.

A simpler example is grain. For some, for example, a ton of grain is a supply for 3 years to bake a loaf of bread to feed a family. And for another, it is sowing material for 10 hectares, which will turn into 10 tons in a year, half will be sold, and 5 tons will be sown, and in a year will give 50 tons of grain. Half of which will be sold, and 25 tons will be sown for 3 years, and eventually will turn into 250 tons of grain. It is the same with money - someone digests this resource and turns it into the products of our vital activity, while another uses this resource to multiply it and generate income. This is the difference between ordinary people and those who "rule the world"

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[pinggoki]

Oh, so it's not because the poor people have been systematically oppressed by the ruling class and any form of making money is crippled that only those that was borne of high status can achieve. Not everyone is like those Wall Street douchebags so your point isn't valid.

[BIT-BENDER]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

This logic may leave you worse than you were, it's a popular saying that don't invest more than you can afford to lose only it's popular not to invest with borrowed money, most time those guys in the wall street aren't borrowing your money they are actually enticing their clients to give them this money so they can use it to invest for them, if it fails all loss goes to the client, becareful how you interpret logics and ideas.

[awik p]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

This logic may leave you worse than you were, it's a popular saying that don't invest more than you can afford to lose only it's popular not to invest with borrowed money, most time those guys in the wall street aren't borrowing your money they are actually enticing their clients to give them this money so they can use it to invest for them, if it fails all loss goes to the client, becareful how you interpret logics and ideas.

that's how clever they are where without realizing it they can collect capital from us so they can distribute it for other business purposes, so in this case capital is actually not the main reason for doing business because we can work even though we have minimal capital, but it certainly requires a process, so that the mindset we must change so that we can adapt to changing times and we can find opportunities to take advantage of

[dbc23]

Not all wall street firms end up success, many were bankrupt, but you won't hear the bankrupt story. The higher the leverage, the higher the bankruptcy risk. And for sure, real estate business has the highest leverage across industries IIRC. What I want to say is, you don't always need leverage. You can be wealthy from side hustle without borrowing any money. The key is reinvesting your excess income, not from debt.

Same way not all who choose a career end up with them. The fact the process didn't work out for A doesn't mean it wouldn't work out for B. It's more riskier not to take the risk. Most successful investors failed during their early beginning and went bankrupt but their determination and passion kept them burning and today the process pays so if leverage is the only option use it but be wise with it

[Reid]

Easy to say, difficult to be done.
First of all, where will you start? Where will you borrow? How much will be the cost of rates applied annually? Next, what kind of investment? Where to put money in the safest way? How about the percentage of losing or winning the investment?
It's a broad thing and it's not like a click away from doing all of it. It needs research which might even cost your health if you are trying to dig deep about it. Wall Street brokers had been doing this for a long time and it's not like they always win in the process.

[Mauser]

You are right that Wallstreet uses a lot of leverage to boost its returns to exceptional high levels. But I wouldn't recommend to do the same for the average investor. Sure we could also increase our returns, at the cost of increasing our risk. There can always go something wrong and leverage means that we could lose more money than we own. Being in debt can be a downward spiral.
In my opinion the reason why Wallstreet is so successful is not leverage but rather the access to the best technology and hardware. Wallstreet has the closest server to the exchange, the fastest Internet and the best support. The average investor can't compete against that.

[omone1]

Never borrow money for an investment if you are no an expert. Most of these big trading companies have an insurance covering them, and they could declare bankruptcy at any time and apply for a bail out, but you will go into depression once the real war starts.

[Oceat]

Not all wall street firms end up success, many were bankrupt, but you won't hear the bankrupt story. The higher the leverage, the higher the bankruptcy risk. And for sure, real estate business has the highest leverage across industries IIRC. What I want to say is, you don't always need leverage.

The OP is just surely talking about the top of all what's happening with those people in the wall street but didn't totally get what they've been through. Not all people will be successful if they loan some money because I believe it takes a right knowledge and experience on how to manage an investment.

You can be wealthy from side hustle without borrowing any money. The key is reinvesting your excess income, not from debt.

Yes, it's true and this is what the Chinese have been doing why they are always successful in their business. And for those who can afford to lose with a higher leverage they are the ones who are ready to risk in order to gain a name in the industry of business.

[Coyster]

Oh, so it's not because the poor people have been systematically oppressed by the ruling class and any form of making money is crippled that only those that was borne of high status can achieve. Not everyone is like those Wall Street douchebags so your point isn't valid.

I don't think rich individuals are actually to blame for people who do not have so much money, I mean many people had to work really hard to get to where they are now, they also make smart and astute moves and took out time for self development, and there have also been poor people who along the line made life changing decisions that made them rich, what I'm saying is I'm of the believe that the ability to make wealth sometimes rest in our hands/decisions we make, I know there are people that had things easy for them from birth, but there have also been others who struggled to get it to the top, so no need blaming anyone. Having said that, I'd rather blame some corrupt government that embezzle national funds for their own benefits, they are bigger problems than private rich individuals.

[breathlessz]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

U never use loaned funds just to buy things for u if u dont have ur own money enough.

basically they borrow money to be used as capital for the business. but in my opinion, trading is not something that is recommended for everyone. because trading requires professional and experienced traders, therefore most of these people hire pro traders. and also the trading options are still around the stock market and forex not crypto.

indeed many of them work with professional traders, and have a clear and logical portfolio. for ordinary traders it may be very difficult to manage, because profit or loss all have reasons and regulations, so do not trade randomly. if it's like that maybe borrowing money is not a problem because it's done by professional people

[kryptqnick]

First rule you use loaned money to make money.
Stocks and crypto u borrow always before bull run and sell ur assets even the real estate when markets are booming u pay back the loan u wait the market drops u repeat the process.

I think it's a terrible idea. Risking your own money is one thing: you can lose everything, but at least you won't owe anyone. If you lose the money from your investors, they'll probably want it back, and you'll be in lots of trouble. Also, you're saying it as if it's so easy to loan money and invest it. If you're already a Wall Street trader, you know people and vice versa, so you might get a hold of someone else's money. But if you're a nobody on the Internet, that's not gonna work for you. Moreover, it's not like all of them are rich (even those who made it there) or living easy lives (not working overtime and stressing out over the market). So, as a career choice, it's not something I'd want to do, for example.

[Smitty Werben Man Jensen]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

U never use loaned funds just to buy things for u if u dont have ur own money enough.

basically they borrow money to be used as capital for the business. but in my opinion, trading is not something that is recommended for everyone. because trading requires professional and experienced traders, therefore most of these people hire pro traders. and also the trading options are still around the stock market and forex not crypto.

In trading someone needs to have knowledge and skills I think that is something that we must have before starting to trade,
mentally you have to be ready because the risk is big so it's not easy to trade

[BitKongy]

Why is no one talking about how loaned money can ruin your life faster than other ways? The higher the risk the higher the reward they say, loan money isn't your money and investing that on something that has no guarantee is too dangerous, many have take their own life because of debt just because some are getting rich using debt/loan doesn't mean it's for everybody

[amishmanish]

You work hard enough to get the capability to put sentences together in a coherent manner and understand statistics, probability, calculus and basic algebra that is needed to keep track of your investments; you too can become like one of those wall street guys.

All of these stupid excuses about the scales somehow being in their favor is just the economics of scale at work. The world certainly isn't fair and wealth distribution will definitely never be equal, despite that anybody with enough knowledge, skill, and most importantly, luck can become wealthy. There is no other reason.

Wealthy money-savvy people take loans with their equity as collateral all the time. It's mostly a bad idea especially for the inexperienced, but it's a damn great tool if you know what you're doing; especially today where bank loans are like more or less 2%. You just need to smartly allocate your loaned money correctly.

Loan against equity portfolio is definitely a good way to get investment cash if you already have a considerable portfolio. The middle class mostly has to depend on the loan against property stuff.

Borrowing against equity is something that people are already doing on these Eth based markets like AAVE and COMPOUND where you can lock certain tokens as collateral and borrow stablecoins or other crypto. These two universes will continue to draw parallels now.

[dimox]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

U never use loaned funds just to buy things for u if u dont have ur own money enough.
First rule you use loaned money to make money.
Stocks and crypto u borrow always before bull run and sell ur assets even the real estate when markets are booming u pay back the loan u wait the market drops u repeat the process.

If anyone start doing this no profit for wall street wealthy guys anymore thats how powerful is investing money what u borrowed.

if you loan for your daily needed, its wrong. you dont need a thing and pay with your salary every month. if you loan for your company, or developing your company, ita good, because you pay with your company salary. if you loan for your investment, its wrong, you must invest after get paid first.
there are many people lucky to have loan, and lucky to have good profit in short time. and are you count on this method? i dont think so, thats why to work first, invest later. doesnt matter how small, how late as long as you know what to do.

[Kakmakr]

The problem with borrowed money is that it is accumulating interest and you have to pay it back. So if the price goes down or if it stays the same for say 3 years, like it did in 2017... then you are fc%#ed. The interest on that money and the money that you have to pay back might be more than the potential profits.

So the golden rule of Crypto currencies are NOT to fund it with debt..... never! Just use disposable cash that you might not need for 2 or 3 or more years. 

[lienfaye]

They borrow money to buy assets before bull run
They use borrowed money to make more money.
If u dont learn how to use DEbt to create wealth then u stay poor all ur life.

Well, this is only applicable to people who already have experience on investing, know what they're doing and aware of the risk associated with it. Taking a loan has an interest and if you're someone who dont have anything to lean on or dont have any assets to offer incase something went wrong with your investment then you're doomed. Rich people are making money for being knowledgeable and wise on what they do, thus taking a loan is just a basic for them to make money or to expand their business/wealth.

Thus if you're trying to copy what wealthy people do, make sure to know the consequences of your actions. Because it is still not advisable to take loan regardless on your plan for it to make more money.

[STT]

You can suppose wealth advantage by connection to QE and newly issued currency.   After circulating commonly on the street, the money is already worth less from inflation but when newly issued you have money which has not yet registered in its dilution of Dollar value.  When you receive the money you have a good bet in knowing the future worth of dollar will decline and you can invest in assets with a greater utility and return.    The average person does not have this direct connection to QE, there is a special list of primary dealers mostly investment banks many billions worth in size.  Companies generally have a great advantage over a person in they can spread taxes over a six year time frame, one years losses can counter any profits going forward many years.

[bittraffic]

You don't loan to invest because if ever you fucked it up, no one will ever bail you out of that debt. It's okay for wallstreet guys because the government will always bail them, but let us see what the government will do today now that it seem like the government has a problem fixing thier own debt by printing more money.

Taking a loan today to invest will not be a good idea if you are just new to the market, it's unpredictable. Sure you've heard of the line, invest the money you can afford to lose.