Investor, Trader, Gambler

Nowadays there are lots of investment tools in our society. Stock and share is one of it. In every investment, some times it is not easy to differentiate invest, trade, or gamble. But different of it will have different result and risk. Before you make your decision to step into the field, you must evaluate the risk you are able to take for the result as a return. Similar to those drive in the highway, if you cannot take the risk to drive with speed of 400km/h, drive with the speed you can handle although 400km/h can reach to the destination faster. In investment, it is not how fast your investment capital appreciates; it is how sustainable your investment is.

Investor is those people who think on their investment from business point of view. They put in the money after doing lot of research and analysis that they are confidence that they can earn back the money with lower risk. Some times, investor has to analyze their investment top down or bottom up. They have to understand macroeconomic and microeconomic as well.

Trader is people have the characters of investor but some time they take higher risk. They can buy today and sell tomorrow once there is profit margin. They take opportunity in the company share that they familiar. They may use technical chart, or possibilities, insider information, psychology and so on to buy and sell in very short time. Similar, if they sense the problem, they will also sell immediately to lower their losses.

Gambler is easy to define and get in the market. They are greedy and take high risk. They might not know what is the company doing of their investment or just heard from other people that this company price will go up.

Just similar to lots of cases in the history in almost every stock market, lot of people loss huge amount of money because they misuse margin facility, borrow money, or so on. Always invest within the capability and take into the consideration of risk.