Because there is a lot of risk in speculating. Of course, the reason people continue to speculate is because there is a potential of a huge reward. If your teacher gives others speculating advice he might make them lose lots of money.
Maybe the idea that they cause prices to go up. Things like Nat gas or crude. Ask him and find out why
In a broad sense, anyone who invests in stocks or bonds (directly or via mutual funds) is a "speculator."
speculators take on much higher risk - higher possible reward, but also higher chance or larger loss - you have to be willing to lose a lot more to MAYBE gain more
Because the choices are not based on solid information, it is more like gambling.
My business ethics professor is a speculator, and refers to himself jokingly as a jerk. I don't have any understanding of futures or derivatives at all, I just know that speculators invest in things that they expect to increase in price, as opposed to earning dividends or interest. But isn't the nature of trade to buy low and sell high? Why does speculating have such a negative connotation?
