Investor vs Trader: When it comes to the stock market, one question never gets old — who makes more money, an investor or a trader? Both aim to earn profits from the market, but their styles, time horizons, and risk levels are completely different. Here’s a simple explainer.

The basic difference

Investor: An investor buys stocks with a long-term view — usually for years or even decades. The idea is to benefit from business growth, dividends, and compounding returns.

Trader: A trader, on the other hand, looks to make profits from short-term price movements — sometimes within a day, week, or month.

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How they make money

Investors earn through long-term capital appreciation and dividends. They rely on the power of compounding — allowing profits t

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