I understand that at OSK, the minimum commission for a trade is RM40 if you go through your remisier. If you do it online yourself, the minimum commission is RM12.
Assuming that you are a small trader and you do not know how to trade online. That means that every trade you do, you have to go through your remiser.
Suppose Tom bought a stock for RM6000 and made a 15% profit. That means he made RM900. From this trade, he a has to pay commission, stamp duty and clearing fees. Both ways, the amount works out to be: roughly RM40 + 40 + s/duty 13 and clearing fees 4.80. The total is 97.80. And don't forget that if his fund is financed by the bank, he has to paid interest which has to be factored in as well but is not included here.
Thus his profit of RM900 shrinks to RM802.20.
Now let's see what happens if he loses RM900. Plus the expenses stated above, his loss of RM900 inflates to RM997.80.
To sum it up ( for this case), if Tom wins, he wins RM802.20 and if he loses, he loses RM997.80. From this calculation, you can see that the odds are heavily against him.
What is the odd against you when you play roulette, soccer betting, and 4D?
If you really want to bet, find out what is what before you wagger or very soon your cash will just say: Bye bye!
Never overestimate your own ability to survive in the gambling world.
