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Well it's just possible that its a bad investment for people someone with no bankroll. Someone making only 10 dollars an hour might be better off putting 20% of what he makes in a savings account in case his car breaks down or something. Equity is risky, and putting 20% of your money on one stock probably isn't a great investment.
 Originally Posted by a500lbgorilla
I invest money because I want to be able to retire. So some of my money now is not worth more to me than more money later. So this explanation is not true.
I guess I got spun around by "money now is worth more than money later."
I mean dollar for dollar, money now is worth more than money later. If you could put money away and be assured that it would be locked to inflation forever, but never actually increase in value, you're probably still taking a loss there, because there are usually ways of putting your money to actual productive use. A poor and unskilled person would be far better off spending 20% of their income on tuition for night classes or on productivity-enhancing measures like a better computer, or on risk-mitigating measures like a better health insurance policy. A retirement fund should usually be pretty far down the list of priorities for someone earning 10 dollars an hour.
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