Preface

My dad was an engineer. In fact, he was a mechanical engineer, a civil engineer, and an electrical engineer. He built his own first car from parts. Now, you might think that’s a bit unusual to have so many engineering skills. But when I tell you that my father never went to college, it really puts things into perspective. My father got all his education by applying for jobs and then just learning how to do it on the job. He was born in 1904 and in those days you could do that sort of thing.

Over time, however, everything changed. If a profession earns a good salary, the members of that profession want to limit the competition. Thus, they decide that you have to go through certain hoops and meet certain standards in order to enter that profession. These hoops include getting professional degrees and passing various tests. In fact, the higher paying the job, the harder it is to gain entry into that job. Why? Because when you limit the competition, the salaries stay high. Thus, the entry requirements for new professionals in fields with high salaries are very strict. It’s part of the money game.

Generally, the higher paying the job, the stronger the entry requirements. Doctors, for example, must complete school through college (16 years of study), four years of medical school, an internship, and a residency, plus passing board exams. And they can lose their licenses for practicing other forms of medicine. For example, if a doctor gives large intravenous doses of vitamins to patients, it’s not considered regular accepted medicine and he or she could be disbarred. And what this does is keep the standards at a particular level while supporting the drug industry and limiting the competition for many high-paying jobs.

So how does this relate to why you are likely to lose in the market? Trading is difficult, so the entry requirements are easy. There is a big money game with trillions of dollars at stake and you don’t want to argue with big money. You certainly don’t want to play by their rules and that’s why this book will help you.

V.T.