Is pure Value Investing a gamble?

[Foxer]

I would not view investing as gambling, just as I would not view other activities that involve the element of chance (insurance) to be gambling. Gambling is a chance-based , zero-sum game that serves no social purpose other than entertainment for the gamblers, and tax revenue for the government. When you bet in a casino, or buy 4D, or buy ToTo, no production takes place, no invention is being done.

While investing does also contain chance, however it also serves a very real social purpose of diverting resources to profitable enterprises. By buying and holding value stocks, you are keeping the price of the stock up, which allows the company to raise money easier either from borrow money on more favorable terms or issuing stocks at higher price.

The same thing also applies to insurance. While insurance also contains chance (Insurance company is betting the incident won’t happen so often), it also serves a real social purpose of mitigating risk for the individual person or companies.

[newborn1000]

If there is deflation, no country will be dumb enough to issue bonds...........Because the value at maturity will become larger in real terms........

So you can forget about buying bonds during deflation........

[Nick]

There is no such thing as certainty in the real world. Buying bonds is uncertain since governments can collapse (just read history) or be overthrow in a coup. Marriage is filled with uncertainties. Even in the atomic world, uncertainty persist leading to the advent of quantum physics (and the Heisenburg Uncertainty Principle). In short, everything in life is a gamble. Roll the dice and enjoy yourself in this Great Game of Life ! I guess the old saying rings true - the only thing certain is death and taxes !