Tykr is focused on investing but we are a time-saver for traders.
Here is a quick summary of the differences between investing and trading.
1) Trading is a job
- With trading, you are working for money.
- With investing, your money is working for you.
2) Trading is not consistent
- As a trader, you may be buying and selling stocks every day (day trading) or over the span of several days (swing trading). Some days you’ll make money and some days you’ll lose money.
- As an investor, you’re letting compound interest work for you over weeks, months, and years. As you’ll learn in the onboarding, if you buy strong stocks, you have a high probability of making big returns over time.
3) 99% of traders lose money
- This article on LinkedIn explains why 99% of traders lose money. Trading is a zero-sum game because you are “trading”. Let that sink in. One person is buying from another person. One person claims a profit while the other person claims a loss.
- On the other hand, everyone can win by investing. If 1 million people invest in a great stock, all 1 million can potentially profit if the stock goes up. This is one of the many great benefits of investing.
4) The number of billionaire investors vs billionaire traders
- How many billionaire investors vs billionaire traders are there? Spoiler alert, there are zero billionaire traders. On the other hand, there are almost 3,000 billionaires in the world which are primarily composed of entrepreneurs and investors. Learn more here on Forbes.
Important notes for traders
- Respectively, we have nothing against trading but we do have a responsibility to outline the risks and facts above.
- Now, if you are into trading, a lot of traders use Tykr to create a short list of hot stocks. In other words, Tykr is their starting point. This way, if you decide to convert from a short-term gain to a long-term buy and hold, you don’t have to make a lot of changes.
- If you do decide to trade, please make sure you have proper training with a platform, organization, association, or teacher.