Originally Posted by
BlackPeter
Not sure, whether the investment mastermind Benjamin Graham would agree with you. A citation from his "Intelligent Investor":
Not sure either, whether I ever heard that Warren Buffet made his fortune with "options, futures and short selling".
I think what you mean is that speculators tend to use these instruments, and no doubt - some of them make some of the time money that way. Some of them make even serious money and others even make money when they don't make money - that's when they ask in times of crisis for tax payer bail outs.
And don't get me wrong - there are some in my view legitimate applications of some of these instruments (e.g. futures for hedging) and there is as well nothing wrong with speculation if you enjoy it and as long as you can afford to lose the money you speculate with ... just don't call it "investment".