Post
Topic
Board Economics
Re: The Higher the capital the higher the returns
by
Mahanton
on 13/07/2024, 21:08:06 UTC
From basic economic principles, if you have a higher capital, you will certainly have higher returns compared to starting with a smaller capital. If you're just chasing returns or expecting a huge profit margin but pay slight attention to how much you use as your capital, even when you make a profit, the extent of your profit will largely depend on how much is your Capital.

                                                       REMEMBER
                                                       50% profit on $1000 is $500
                                                         5% profit on $100,000 is $5000
                                                          THE IMPLICATION IS;
Don't chase bigger returns, chase more capital. This is also applicable to How much you invest in Bitcoin and how much profit you can get from it.
Yes,it's the basics but you should really be that making yourself having that consideration that on the moment you do make use of huge capital could also result into that huge loses too on which this is something that will really be that  still be the same in terms of risks to those who had put up small amount of capital.The key on here is on how you do sustain and make things big because on the moment or time you do find yourself having some investment or business then don't mind much about the big profits first because the first consideration would be on how you do make out such profitability on the things you've been dealing.On the moment that you do rush yourself about making money whether small or big capital then it would be giving the same results. We do know that bigger does have that advantage when it comes to profits but it would be that equal on how much that you could be able to lose.In doing business then there's always that accompanied risks.Therefore, this would really be your main considerations.