One big question we’re often asked…
Is Tykr used for investing or trading?
Short answer…
Investors use Tykr to make money over the long-term
Traders use Tykr to make money over the short-term
With that being said, there are a few differences to be aware of:
1) Time
- With trading, you have to spend a lot of time. In summary, you are working for money.
- With investing, you spend a lot less time. In summary, your money is working for you.
2) Consistency
- 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. In summary, trading does not produce consistent positive returns over the short term.
- 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 On Sale stocks, you have a high probability of making big returns over time. In summary, investing does produce consistent positive returns over the long term.
3) Risk
- Trading is known to be high-risk. This article on LinkedIn explains why 99% of traders lose money. Trading is a zero-sum game because you are “trading”. One person is buying from another person. One person claims a profit while the other person claims a loss.
- Investing is low-risk if you have the right tool. In your case, you’re using Tykr so you’re in the right place. On top of that, everyone can win by investing. If one million people invest in a great stock, all one million can 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. For example, traders will use Tykr to narrow down a “short-list”. In other words, they’ll start with 100 possible trade opportunities and then narrow that list down to “10 hot stocks” with Tykr.
- If you do decide to trade, please make sure you have proper training with a platform, organization, association, or teacher.