Earlier quoted context omitted.
Regular investing in the stock market is when you buy some stock, believing it will go up, so you can sell it at a profit at a later date That's speculation, not investing. I think it's important people understand the difference.
Really? Given the statement above, which boils down to: "buy low and sell high", what's the difference? Generally, market microstructure tells us there are speculators and value investors, both serving a due purpose in the functioning of a market. Value investors are most adequately described as those who buy an asset below market value, rather than at or above market value. Both types of market participants are in i…
The difference is, for the value investor, the selling part is optional. A company can repay its investors with dividends, liquidation (rare), being bought out... Often value investors end up selling to the market, but you have to break away from the mentality that buy low sell high is the point of "investing". If it is that way, then it's a zero-sum game, so why's it an important part of capitalism again?