What is the difference between trading and investing?

Main difference would be the holding period and frequency of the transaction.

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For trading, one may enter and exit the position in a matter of minutes or seconds. It's typically not something you hold for an extended period of time. There are exceptions of cos, like leap option contracts.

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Usually traders will need to interpret charts and understand technical analysis to know when to enter and exit their positions. There's also psychology involved; I'd say this is more important than knowing how to trade.

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Investing would be something you do on a somewhat periodic basis and hold for a long period of time. For example, I invest into Syfe's reit+ on a monthly basis and intend to hold it for retirement purposes.

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You can generate a higher roi doing trading compared to investing but the risks are greater as well. There's the possibility of bursting your account and even getting to a point of a margin call.

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Generally, if you are new to stocks, it'll be better to learn investing rather than trading.

Trading and investing are two distinct approaches to managing money in the financial markets. While there are some similarities, there are also some key differences between the two.

Trading involves the buying and selling of financial instruments such as stocks, bonds, currencies, commodities or options with the intention of making a profit from short-term price movements. Trades are usually made with a high degree of frequency, with the goal of taking advantage of small price movements over short time frames. Trading is a more active approach to the markets and requires a great deal of time and attention to be successful.

Investing, on the other hand, is a longer-term approach to the financial markets. Investors typically buy stocks, bonds or other financial instruments with the goal of holding them for a longer period of time, often several years or more. The focus is on the underlying fundamentals of the companies or assets they are invested in, rather than short-term price movements. The goal of investing is to grow wealth over the long term through capital appreciation and/or income generation.

In summary, trading is more focused on short-term price movements and is a more active approach, while investing is focused on longer-term growth and is a more passive approach. Both approaches have their own advantages and disadvantages, and the choice between trading and investing depends on an individual's financial goals, risk tolerance, and investment time horizon.