Stock Market Investing as a Hobby?

[ENP]

Do you treat your share/stock investments as more of a hobby and enjoy following the markets, companies and financial news or is it strictly business and the bottom line?

If it is treated as a hobby, say you put aside a few thousand dollars a year how it is any different than other expensive hobbies such as golf, cycling, travel.

Once you buy a new golf club or gym membership, you don't get any money back, where as shares you may do.

 

[burglar]

Do you treat your share/stock investments as more of a hobby and enjoy ..

I give myself permission to enjoy investing/trading, even when not in profit.
No boss, no duty statement and no bottom line!


I'm living the life!

 

[cynic]

Expensive hobby to some as evidenced by the events of the past several years.

Many market enthusiasts have been GF*C*ed whilst trying to make a business out of trading.

Might be entertaining for some spectators on the sidelines whom enjoy watching bloodsports.

 

[Tysonboss1]

Might be entertaining for some spectators on the sidelines whom enjoy watching bloodsports.

It's a bit like watching Jackass sometimes, You can't take pity on the people getting hurt because you know they are the ones that put themselves in the vunerable position in the first place.

The GFC was the best thing that every happened to my portfolio, Because of the GFC I can retire many years earlier than I otherwise would have.

But in answer to the OP.

I think if you are treating it as a Hobby you are far more likely to be speculating rather than investing, and you should probably have a systematic savings and investment plan outside of your "Hobby" speculation operation.

I enjoy my investing activities, I wouldn't describe it as a hobby though, Just as a professional builder, soldier, soliciter or mechanic would not think of their job as a Hobby just because they enjoy it

 

[howardbandy]

Greetings all --

In my opinion, the only reason to invest or trade is to increase my wealth. Investing or trading in a size that is large enough to change my wealth is expensive if it goes wrong -- more expensive than any hobby I might pursue.

Every trading / investing method is guaranteed to go bankrupt if used long enough. Even if it has a positive expectancy.

Every trader / investor should have two values for his or her account balance firmly in mind.
One is the amount greater than the current balance at which he will retire and stop trading / investing -- quit while he is ahead.
The other is the amount less than the current balance at which he will admit the method is not working and stop -- quit before he is bankrupt.

Thanks for listening,
Howard

 

[cynic]

The GFC was the best thing that every happened to my portfolio, Because of the GFC I can retire many years earlier than I otherwise would have.
just because they enjoy it

Aha!

It was you! You did it!

You're the one who scored all my lost loot these past few years!

 

[KurwaJegoMac]

Greetings all --

In my opinion, the only reason to invest or trade is to increase my wealth. Investing or trading in a size that is large enough to change my wealth is expensive if it goes wrong -- more expensive than any hobby I might pursue.

Every trading / investing method is guaranteed to go bankrupt if used long enough. Even if it has a positive expectancy.

Every trader / investor should have two values for his or her account balance firmly in mind.
One is the amount greater than the current balance at which he will retire and stop trading / investing -- quit while he is ahead.
The other is the amount less than the current balance at which he will admit the method is not working and stop -- quit before he is bankrupt.

Thanks for listening,
Howard

Well said! I invest to increase my wealth - yes I enjoy trading but my ultimate goal is to increase my wealth and therefore it can't be classed as a hobby.

If my ultimate goal was to have fun and earning/losing wealth was secondary - say if I was a billionaire and had 100K to play with and couldn't care less whether I wwon or lost it all, then I'd count it as a hobby.

 

[davede]

No problems with having investing as a hobby so long as you understand what you're investing in. A lot of 'hobbyists' can't fully understand what they are investing because they may not have dedicated the required time.

I recall a few 'side investments' made in a colleague's listed company pre-GFC. I didn't take the time to understand the risks and well... last time I checked I was 74% down on the stock.

Live and learn

 

[So_Cynical]

Often i think it can be a little like a game...i mean your there in front of a screen and there's decisions made based on inputs/numbers or whatever and your net worth goes up all down but its all virtual until tax time and or a trip to the ATM etc.

Hobby can = game/s. :dunno: