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Tuesday, October 20, 2020

Investing vs. Trading and the Power of Compounding


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Financial markets are such a diverse place that everyone can find something to fit its goals. Some people prefer short-term trading to  long-term one. Speculation is a thing these days, especially since electronic trading provides fair spreads to retail accounts as well.
Some other people prefer long-term trading, also known as investing. Regardless of the product traded, a long-term perspective requires something else from the trader. One of them, for instance, is liquidity.
The stock…

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