Trading vs investing

NAV TL;DR

If you don’t have time to read through the whole article, you can check out our short version below:

Looking at your goals, philosophy, tools, investment period and profits are ways to differentiate if you are a “trader” or “investor”.

Trading involves quick profits and also daily monitoring and speculation.

Investing requires a slow and steady approach with a long-term perspective to generate stable income.

 

Two people could call themselves investors but in reality, have very different behaviours and outlook. The one watching the market every day for a ‘good deal’ should more accurately be called a trader as the goal is quick profits and with it, a significant amount of speculation.

The one taking a slow and steady approach with a long-term perspective is investing to generate stable income.




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