At short term, trading looks lubricious but in long run, who wins the game? What are your plans?
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What i think is Trading and investing is both Business . You have to invest your time and keep learning and adapting. Trading is a business limited to capital 10-20 Cr as you can’t practically move money in and out so easily above that capital while in investing as your time horizon is big you may play with any capital .
So the joy is not about more or less , its about whats your risk appetite , target appetite its very personal thing. Like any business , if you are able to execute your plan effectively and consistently than nothings beats consistency , bliss will automatically followed
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Investor. No doubt in it
Profit, joy and pride to be part owner of
Tcs, Hul, icici, sbi, itc few more.
Disc. I am an investor and only investing. So my vote will be for investors
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broker
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No doubt, invester seems to have bigger profit in long run! My plan is to go investing from trading, ie., Earing from trading then investing 
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Well said, trading seems to me some cumbersome task, as to, you have to be active to your earnings, investing, if done right, can generate passive income, even when you sleep carelessly!
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Investors have the perks of being investors - as a popular belief the stock market always goes up. So any average person can become an investor
a trader is someone who defies the odds and generate alpha. He could win or lose. Being a trader is more difficult than to become an investor
As per me, the SIPs, mutual funds etc are for the general public (investors), whereas the trader tries to time the market, generate profits.
Also any successful trader can invest, but not all successful investors can become traders.
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Well said! Defining the qualities of being invester or trader is very specific to indivisual needs, wants and capability, both in short and long turns!
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I don’t know if I’m right, but i think this is why personalities like rakesh jhunjhunwala denies others to being a trader like it is a loosing game.
RK Damani is better suited to this profile. I still dont believe why the main media is not covering him
I thought the topic was not to describe the job profile or job description of investor vs traders. Each one whether investor or trader has a place in this whole wide world.
Doctors save lifes at the same time you need an ambulance driver to bring the patient to the doctor when he has a cardiac arrest. Each one has their own skill sets and do what they like to do best which meets their overall strategy. Both are indispensable. Yeah Dr gets the credit while the ambulance driver walks home contended of doing a great service of saving a life…
Moral of the story. Each one has their own importance and it does no good to anyone to try to say one type is bigger or important than the other.
Discl: live and let investors live sir.
Whether traders can be great investors whilst investors cant be traders…, huh??? Who cares???
Any average person can be investors??!!!
This is absolutely true. Because investors are average we dont lose the entire capital by trading and show to the world that they are traders.
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Brokers don’t allow investors to sleep peacefully. If there is no transaction in your account for few weeks, they start calling you up even if you are already holding shares worth lakhs of Rupees with them.
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Depending upon one’s cognitive, emotional, financial states and age, both investing and trading can be chosen. Each has its own advantages and limitations.
One could be both at the same time, I am a bit of both, and I know there are many like me, who keep their trading and investing separate.
There is a reason i said this. A bubble if it pops, the market drops say 60 to 80% and doesnt recover for say 20 to 25 years. Almost all the investors in age group 30 to 50 yrs will get wiped out of their wealth.
It has happened before, 1929 in US. 1989 in Japan. It could happen again - In India (in 9 to 12 months)
So the so called Mutual Funds Sahi he campaign will not really work out well.
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I don’t think anyone invests all of their wealth in the stock market, except greedy people.
Someone who is in the market for a few years, will definitely experience that returns are sometimes a rollercoaster, so they will have other assets in their PF.
I don’t about Japan, but US market has more participation from public than India, because in India, there are many, many ways to invest without touching stock market.
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One can do both and be successful. Both investing and trading can make you elated or miserable if you look at pnl too closely and this misery can become permanent if you react to it irrationally. Hard to do but best not to be emotionally involved too much, greed/pride/joy/fear/despair are all pointless here.
Aim should be Just to compound your money and then become financially free if not already, preserve/increase purchasing power, diversify to reduce risk and perhaps get rich. Let money make money and we can do other things …
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I started as an investor and now I do both.
IMO investing is much easier compared to trading. Returns are decent if you are invested in good companies for a long duration.
As a trader all that I do is sell deep calls and puts to get extra return over and above benchmark return. Am not not sure if I can consider that as trading. Considering the efforts one needs to put in to become a successful trader, I feel the returns generated are not worth it.
Am sure many others won’t agree with this but it is just my opinion.
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Well said, there is no clear line between what to do and what not! Including all asset classes in pf in percentage accordingly will definately help.
Well, there are many many and many adivices from experts saying buy this stock and etc. etc., What you think right, should be research properly and decide stocks to buy or should be listen to them?
Behind every stock there is a company, a company does a business. So we should focus on understanding the business.
How does the business gets its revenues, which companies are its competitors, can the market expand, what is the companies market share, will any government rules change the profit of the company, are there any factors which can influence the profits of the company, is the management good and efficient, how did the business grow till now, how will the business grow in the future etc etc. Investing is a very deep work, with experience you can get answers to all the questions in less time, you can also create a checklist, but at the beginning it will take a lot of time, just like trading.
On the other hand, a stock means the price moving up and down through the journey of the company. Even if it is a well known company, the price will not move up for many reasons, example ITC. One reason is public category, retail investors have many shares in their hands, so if institutions don’t have holding, price will not move up. Or even if the company will exist for many years, market thinks there will not be any growth, so price stays there or goes down, example many PSU stocks.
So understanding the business is one thing and looking at the stock are different. Both are important.
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Thanks for your opinion, When i compared some of the facts, i see trading have certain limitations to what the highest point you can hit if you give your whole life to it.
On the other side, there are no upper limits with investing.
No doubt, work, knowledge, time, experience and money is required in both profession, but the results are whole different ballgame altogether!
My intention is not to point out just investing better comparing to trading, i think moreover it depends on individual (what he wants, what are his goals) 