Are you a trader? An investor? Or both?

Discussion in 'Ask any question!' started by TheSmelloscope, Nov 17, 2019.

  1. TheSmelloscope

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    Seems like the concept of "Trader" versus "Investor" bring about a religious-like ferocity in some people. Nothing wrong with that. But it makes me curious to hear more from both sides.

    Do you consider yourself a trader or an investor? Or both?

    Being a trader seems like a lot of work to me. I imagine myself nervously looking at tickers on my phone all day at work and then listening to a smarmy (yet endearing?) Guy Risdall deliver me the market news on the long commute home. I don't like the idea of that kind of life. I can hang with Guy a couple times a month, but not everyday.

    I'd rather be the type of person that closely analyzes company news and fundamentals about twice a year, gets occasional insight from a community, and then listens to music on the commute home instead of market news.

    Is this a reasonable approach for success in your opinion?

    For me personally, trying to make trades on a week-to-week or even month-to-month basis sounds intimidating, risky, and generally irritating.

    Full disclosure- I'm eating chips and salsa with tuna and it's 4:27am on "Saturday night".
     
  2. Onepoint272

    Onepoint272 2019 Stockaholics Contest Winner

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    Both.

    It seems to me the only way one cannot consider himself a trader is if he only buys quality dividend-paying stocks from which he intends to derive all his return from the "investment"; in which case he doesn't care which way the price moves, but may prefer it to go down to "invest" more provided the dividend remains intact. Otherwise, if the profit intent is to buy low and sell high (or sell high and buy low) then you are a trader and the only thing that differentiates you from other traders is time frame.
     
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  3. TheSmelloscope

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    That's a fantastic explanation, thank you. I think you're right, it's really just about time frame and overall goals.
     
  4. Onepoint272

    Onepoint272 2019 Stockaholics Contest Winner

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    No, I just said "time frame". The goal for all traders, in fact for investors (dividend seekers) even, is singular and the same; to increase wealth. I suppose though one could break it down to two separate goals of wealth "creation" and wealth "preservation". But I'm not convinced that even those different goals have anything to do with whether one trades or invests (seeks dividends). Effort, the type, intensity, and persistence of, may be a better differentiator of one's time frame selection or one's decision to purely invest (seek dividends).
     
    #4 Onepoint272, Nov 17, 2019
    Last edited: Nov 17, 2019
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  5. TheSmelloscope

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    Well said!
     

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