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Tagged: investment, Trading
Every buy/ sell or sell/buy order called trading immaterial of time frame we hold. when comes to investment it is holding a money at particular instrument for value get appreciated. For eg :- buying a stock and selling it with hand full of profit/Loss comes under trading where as you have purchased as stock and waiting to reach a particular limit that position called investment.
Frequently buying and selling stock in short term is known as Trading.
Holding stocks for a longer period and selling it for better profits is known as Investment
Pertaining to Stock Market, Investments is Long Term where capital is more and Trading is Short Term where effort is more.
Investment is the process of keeping or holding the shares,stocks for the long time for a year or a decade to get perks likes interest,splits etc., whereas Trading is the frequent activity get placed by buying and selling the shares.
Investment is a long term one. It will become a future asset for the investor. No short time gain is expected from investments. Trading is a short term one. Trading is done to make profits in a short span of time. It is a business .
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