Investing Is Not Gambling!
I hope you're enjoying your summer so far! My family has been busy as we prepare to move into a new house and welcome another child in August. We are trying to find time to enjoy summer in Minnesota amidst these exciting changes!
Preparing for a move and a growing family has reminded me of an important financial principle: most worthwhile things in life require patience, planning, and a long-term perspective. The same is true when it comes to building wealth.
The Rise of Financial Speculation
Unfortunately, our culture increasingly encourages the opposite approach. Over the past few years, it has become easier than ever to place bets on almost anything.
Sports betting has exploded in popularity. Prediction markets now allow people to wager on everything from election outcomes to economic data releases and even cultural events. At the same time, social media continues to promote stories of people chasing quick profits through speculation.
Unfortunately, many people, especially younger investors, are beginning to confuse speculation (gambling) with investing.
They are not the same thing.
Investing Is Ownership, Not Betting
When you place a bet, you are attempting to predict the outcome of a future event. Someone wins, someone loses, and the outcome is often determined over a short period of time.
Investing is fundamentally different.
When you buy a share of stock, you become a partial owner of a real business. You share in both the risks and rewards of that ownership. If the company grows its earnings, develops valuable products and services, serves customers well, and creates value over time, you participate in that success as an owner.
Ownership comes with both privileges and responsibilities. As investors, we are not simply guessing what will happen next week or next month. We are providing capital to productive businesses and participating in the long-term growth they create.
This distinction matters because speculation often promises excitement, while investing rewards patience.
Wealth Is Built Over Time
The S&P 500 has historically returned roughly 10% annually over very long periods, not because investors correctly predicted every headline, election, or market movement, but because they owned businesses that continued to innovate, serve customers, and grow over time.[1]
Meanwhile, research suggests that the rapid growth of online sports betting has coincided with lower household savings and retirement contributions. One study found that every dollar spent on online sports betting was associated with a reduction of more than two dollars in net investments.[2]
As investors, our goal is not to outguess the crowd. Our goal is to become disciplined owners of productive assets, remain patient through market volatility, and allow time and compounding to work in our favor.
A Long-Term Perspective
The financial media will always provide reasons to worry, speculate, or chase the next big opportunity. Yet history consistently shows that long-term wealth is built not through excitement, but through discipline, patience, and ownership.
Thank you for the trust you place in Fidelis Financial. It is a privilege to help you steward the resources God has entrusted to you and your family.
Will Odland, CFP®, CKA®
Founder, Financial Advisor
[1] "Historical Average Stock Market Returns for S&P 500 (5-year to 150-year averages)," Trade That Swing, February 26, 2026.
[2] "The Explosion of Online Sports Betting Is Taking a Toll on How People Invest," Bob Pisani, CNBC, August 21, 2024.
This communication is provided for informational and educational purposes only and should not be construed as personalized investment, tax, or financial advice. Past performance is not indicative of future results. Any forward-looking statements or expectations are based on current assumptions and are not guarantees of future outcomes. Indexes such as the S&P 500 are unmanaged and cannot be invested in directly.