Are there any consequences (direct or indirect) to others when you make money from stocks or mutual funds?

Question

Are there any consequences (direct or indirect) to others when you make money from stocks or mutual funds? Identify other individuals or groups that may be affected

a) from a financial standpoint

b) from another standpoint (ethically, environmentally, etc.)

For each, identify who may be affected and explain how/why.

Please clarify each part you are understanding and answer in a clear and understandable manner. Thanks! :)

Answer 1

a) When a stock is increasing over the period most of the buyer make money when they sell the stock and when it is decreasing most of the buyer looses money and sellers make money.

On a whole, for a short term profit are not creating any money, you got the money which somebody has lost. So, for short term investment, you make money when somebody looses but in long term in a increasing stock most of the investor gains.

b) When you are investing in stock or mutual fund that is completely legal. So, ethically or environmentally you are not doing any illegal thing. At the end you are helping to raise funds for business expansion or start up. Government also get tax when you pay tax after making money.