How to explain to a 7 year old what makes trading difficult.

This conversation started because I was sitting at the table a few weekends ago and my nephew asked me what I was doing, I said I was doing homework.  “You are in school?” “Not in the same way you are but I still have to do homework.” “Do you have a teacher?”  “Yes it is Ms. Market.” “Is she nice?” “She is nicer when you do the right homework.”  “Is it hard?” “Remember Nintendo games and how sometimes you had to blow into the game….”

I finally snap to and realize he has no idea what I am talking about. “Ok, well you know how some days you get presents.” “Like on my birthday or Christmas or when I do something good?”  “Just like that but with trading those days can happen at anytime.” “You get presents everyday?” “Not really but if I do the right homework it is more likely.”  “So why don’t you just do your homework and you will get presents.” “It does not really work that way, there are times when it is someone else’s birthday or their time to get a present and it doesn’t matter if I did the right homework or not.  Just like sometimes it is your brother or sister’s birthday.” “So why do your homework if you are not going to get a present?” “Because eventually it will be my turn to get a present, you aren’t only good on your birthday are you?” “No, if I am not good I will get a timeout.” “Exactly, I am doing my homework so I do not get punished and there are times when I get presents when it is the right time.”

“Uncle Eli, did you bring me a present?”

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One Response to How to explain to a 7 year old what makes trading difficult.

  1. […] Wie erklärt man einem 7-Jährigen das Tra­den. Genial. (Englisch) […]

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