Betting On A Stock Broker
The more frequently a purchaser buys and sells, the more fees he pays. A broker or dealer cannot make much income on a customer who buys stock and holds it for many years, except for the few purchasers wealthy enough to own a large amount of stock. A stockbroker or dealer may buy and sell stock on his own account rather than for a client.
A speculator aims to buy a stock that will soon rise considerably in price, so that he can then sell at a profit. Or if he expects a stock to drop in price, he “sells short,” a device that enables him to borrow and sell stock he does not own, and to make a profit if the price falls soon enough and far enough. Brokers furnish these as a free service to their purchasers. Does stock gambling pay?
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