The name James Bond conjures up many images of movies and books and of a particular image which many have found and continue to find very appealing. In the book Casino Royale by Ian Fleming, Thomas and Mercer, London, 1953, the character of James Bond is introduced to the public. Among the many traits which have remained with Bond is going to the Casino. In the book and the movie, invariably Mr. Bond and the Treasury at the spy agency he works for is very happy. In the book Casino Royale, Mr. Bond outlines his strategy to playing at the casino – he is asked to bet on his favourite numbers, Mr. Bond says I have no lucky numbers I only bet on even chances or as near them as I can get.  There are some things you can deduce from that statement – Mr. Bond is a serious gambler which means he studies the game and reviews his actions after the playing. Also in gambling there is an large element of luck – when the chances are even it means as close to 50% for either a win or a lost. If the odds are two high, it is time to fold. It is important to know the difference.

Linking to dividend paying stocks, when stocks pay a dividend you are protected on the downside for the stock price will move up and down. One of the reasons the stock will tend to move up in the long run is the company is profitable and eventually the market will value profitable companies at higher valuations when compared to the majority of companies on the exchange which have more hope than profits. If you are going to gamble on the stock market, be like the character of Mr. Bond and know the risks and returns going into your investment.

There are more questions than answers, till the next time – to raising questions.