The Difference between Investors and Speculators

There are investors that carry out very big transactions in which millions of dollars are dealt with. But the concepts of an investor and speculator should not be confused. An investor or financial expert is interested in his own business, tries to assure the most in the directories of his companies, plans merges, obtains the necessary funds in the stock exchange to launch new products and through the stock market, is able to control the societies that he wishes to dominate, causing big movements of selling and purchasing of stocks, that have as a consequence important happenings in the price of the entire stock exchange market. A speculator on his end is a passive speculator of the movements that he himself has not caused but which he is trying to benefit from. Away from the racket, free from the concentration of the wheels, the speculator really reflects in himself and meditates his movements away from the worldly noise. The speculator normally works alone; he does not have a boss or employees, and can dispose of his time as he wishes. The speculator also has the time to habituate himself and to be in a constant state of alertness in order to know how to accurately interpret the market tendencies. Speculators are criticized because they make their gains from others. But if you stop to analyze the situation, and in a way to vindicate their fame, it only harms those that have to sell their stocks, given that they bought them at much higher prices. The speculators that develop their strategy in the times of the market rise can obtain their earnings by buying and selling their shares to others without harming them. On the other hand, keep in mind that the rules are the same for everybody and the speculator, whether he is smart or dumb, will pay for his mistakes by giving earnings others. This makes it a fair game. Therefore, the fascinating thing about the stock exchange market is to learn how to minimize the errors.