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Market Mindset · Lesson 5

Investing, trading or gambling?

Know which game you are playing

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Investing, trading or gambling?

In this lesson

Tell investing, trading and gambling apart, and see why time is the investor's best friend.

Key takeaways

  • Investing is long-term ownership; trading is short-term, rule-based buying and selling.
  • Without a plan, a stop-loss and money you can afford to lose, it is gambling.
  • Compounding: growth earns more growth, so time matters more than timing.
  • Example returns are illustrations — real returns vary and can be negative.
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Next lesson: Rule number one: protect your money

Educational information only - not financial advice.

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