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I think what complicates it is that the shares themselves are a tradable commodity. The price of a commodity isn't just a function of the underlying value of the asset, but also expected change in price, the overall health of the economy, the attitude of other investors, etc. Many short to medium term investors may not care directly about profits at all, because they hope to make their money from growth in the price of the share as a commodity.



> Many short to medium term investors may not care directly about profits at all, because they hope to make their money from growth in the price of the share as a commodity.

Indeed, which breaks down the entire market rationale of capitalism right. It seems that we ought to put minimum hold times on shares. There shouldn't be any medium and certainly no short-term shareholders.


There are minimum hold times, otherwise 2 things happen: short term capital gains(high taxes), and the SEC flags you as PDC(high liquid capital requirements, compared to non-PDC).


Right, but how long are they?




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