Let’s understand the difference between saving and investing first, if an i
Let’s understand the difference between saving and investing first, if an individual is a submitting a fixed deposit in a financial institution with an agreement to receive a certain sum then it is saving. The same financial institution lending the money to new business owners is investing. The trading, on the other hand, is an exercise when a party becomes a stakeholder in any company by the virtue of investment. They can release their stakes in the market with the help of the trading.
In the current culture, most of the countries are promoting the culture of the investment instead of saving. They are promoting a culture where small investors can make money with the help of trading. With the arrival of internet facilities now the awareness levels of an average investor are increasing quite considerably. End-user based software is also making the process of the investment easy for the common users
The field of the trading was considered as a gamble in the past. It was happening because the powers were confined to the commercial traders only. They were moving big money in the market and toppling the equations. The things are changing after the arrival of the individual investors or the retail investors. Retail investors are not frequent in withdrawing the investments or shuffling the stakes. Drop by drop they are adding stability in the trading industry sector and making it an accessible avenue for everyone.
As an investor one has to see the performance of the retail sector, this is the place where future activities are going to take place. Trading sector defines the health of an economy. In spite of all the malpractices and attempts to choke down the natural flow of the market, this industry sector is bound to make a growth in the future. It is true that certain players in the sector of commercial trading have all the power to create an artificial shortage in the market, however, an investor should never forget about the bust and the boom cycle along with the fact that artificial shortages may not last long.