Are You An Investor Or Trader(1)

THE INVESTOR


What do you do in the stock exchange - do you use stock investment for a long-term income or you use it to earn short-term profits?

The two are different aspects and need different strategies to be followed for success.

A good investor might not necessarily be an efficient trader.

Let us see what are the differences between the two and the strategies that could help you to become successful in stock trade.


THE INVESTOR


This is the person who buys the shares of a company and keeps them with him.

When the company makes profit, he incurs a part of it.

The investors do not need to spend too much time thinking about the investment.

Initially, they have to deliberately invest into the stock of a company once;

they don't need to think about it again if they have gone with the right company.

Only in case they have not, they need to consider selling away the shares and invest into some other company.

This way they do not play a very risky game and are generally satisfied with the portion of profit from the company they have invested in.



By Amit Malhotra