Why it is easier to become rich from property and not stocks?

We are more likely to hear people becoming rich in properties than in stocks. Read and understand the wisdom from Soros and you will know why?



"It's not whether you're right or wrong that's important, but how much money you make when you're right and how much you lose when you're wrong." ~ George Soros

Risk and Substantial Stake

Even you are good at picking a few multi-baggers in your portfolio; do you have substantial stake in these multi-baggers to become rich?

Do you dare to take up significant risk to build up high stake in these high growth stocks which may be your potential multi-baggers to become rich? How many people have steel balls?

In property investing, the story is different, you don't need to have steel ball to play because once you are in it. You already put up substantial stake without even noticing it and even leverage up to play this game.

You become rich not because property is a good investment instrument. You actually become rich because you are less risk averse and you put in substantial stake and leverage it up. That is the reason why it is easier to become rich in property and not stocks.

The moral of the story.

To become rich, you must be comfortable with risks and put in substantial stake. If your multi-baggers are not among your top holding in your portfolio, it is very hard to become rich in stocks.  You may be better off doing property investing.