Why is capitalism important to investing?

by brendon on November 2, 2011

Why do you think Kansas City business owners, investors and investment advisory firms need capitalistic markets to thrive?  If capitalism rewards those that create value in the form of a product or service, why is this important to if you want to be a better investor?

Free markets  allow the consumer (and not a government) to choose who to buy stock, goods and services from.  As companies grow, so does the value of the stock you own in that company.   If you could stock in one or 10,000 companies—which would choose?

With all of the wars, recessions and depressions, there has been no point in history where if you invested in equities, you didn’t come out extremely well.  The Main street investor has to learn that nobody on wall street can tell you with certainty where the next 10% market move is.

Watch this video, leave a comment and tell me what you think!

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