Sharemont investments: how does investing different from trading?
Investing and trading are usually used in similar contexts. Be that as it may, the two of them differ in some ways. While there may be some measure of differences between the two terms, it has become very difficult for individuals to properly identify the specific difference between the two. This is because there is rarely a clear line of demarcation between the two. We can say that trading refers to short to medium-term action, while investment, on the other hand, refers to long-term or extended periods.
A good example of a long-term investment is the purchase of shares from a company. In this situation, the investor looks forward to the investment yielding returns or dividends regularly over a long period. This is not the case in trading. In trading, the trader can get a short-term profit due to price fluctuations. The trader can make trading decisions by using trading instruments, which can also provide the trader with a spread of possibilities towards the realization of a considerable amount as profit. Bear in mind that trading activities can be accompanied by certain risks.
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