Since the rich and powerful own most of the stock, can we rest assured that the stock market will always go up over the long term?
Ok, so my point was that since the rich and powerful own lots of stock, is it likely that they can manipulate the stock market by either directly impacting the performance of companies and their stock, or by influencing political decisions that can increase stock performance.
- Qidong JiangsuLv 41 month agoFavorite Answer
the stock market goes up because of inflation and profits
the rich can also falsely make the market down to short sell.
example, ask an accountant to release some scandals of the company, make it a hoo haa....market reacts, behind the scenes, sell it at a high price before the crash and then buy it back after the crash on loan stocks.
- Raymond L.Lv 44 weeks ago
well if the last 70 years are a good predictor of future behavior then the answer would be YES.
Yes, the rich do have a very good eye as to what the stock market will do In the future,
since 1950 there has not been many 10 years periods where the stock market didn't go up. Many of the times up signifigantly.
- tiescoreLv 61 month ago
No, no, individuals own most of the stock. Heck, Vanguard's S&P 500 fund which is incredibly popular with 401K Plans and individual investors is thought to own 17% of the S&P 500 alone. Owning stocks is one of the most accessible ways for individuals to build wealth over the long term by being patient and increasing the amounts they invest during downturns.
What a recently study showed is the poor spend way too much on vices and lottery tickets, meanwhile those that invest in stocks tend to build wealth.
- JudyLv 71 month ago
It goes up and down. The long term trend is up. Many workers have IRAs and 401Ks with stock market investments.
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- SteveLv 61 month ago
No. If bad news comes out about the company, its going to fall no matter who owns the stock. Human nature lies within rich and powerful people, too.
- Anonymous1 month ago
deleted my answer. Asker is a childish troll
- regeruggedLv 71 month ago
The long term trend is always up because businesses create wealth by producing products and services. New businesses are being created all of the time. When the wealth of a company increases, the value of its stock increases.
- Pearl LLv 71 month ago
i dont think we can be assured about anything
- 1 month ago
No, it may no. It will not. It depends how big players play
- 1 month ago
Purchase some stocks then.