I sometimes joke that I have never lost money trading currencies – mostly because I have never traded currencies. Unlike investments in equities, bonds, or real estate, the problem with currencies is that it truly is a zero-sum game. What one person wins, the other must lose. There is no value creation, no dividends or coupons.
Currencies are hard
Currencies are hard
Currencies are hard
I sometimes joke that I have never lost money trading currencies – mostly because I have never traded currencies. Unlike investments in equities, bonds, or real estate, the problem with currencies is that it truly is a zero-sum game. What one person wins, the other must lose. There is no value creation, no dividends or coupons.