Investing Strategies

What kind of investor do you want to be?

Let’s explore some investing strategies, from the short to long term 👴

Day Trading is buying & selling the same stock in one day

To legally day trade, you need to have at least $25k 😱

It’s also very risky and not recommended for beginners 🚩

You may have heard of day traders who make a lot of money very quickly, but they often lose money in the long run 😲

A 2021 report suggests that up to 80% of day traders lose money over a 1 year period 😲

Swing trading is buying and selling a stock to capture a short to medium term price change ✨

Swing traders hold onto stocks longer than day traders, but typically less than a few months 📅

Swing traders are often trying to profit off of a particular period of price movement in a stock...

but are typically not focused on the long term value of a company 💰

Value Investing = buying and holding a stock expecting that the company will increase in value in the long term

Value investors look for undervalued stocks -- stocks that may be worth more than their market price -- and then hold onto them for years, or even decades! 🚀

Imagine if you invested $1000 in Apple when they first went public in 1982, and held onto your shares because you believed in Apple's long term value 🍎

Well, those $1000 you invested would have turned into over $1.6 MILLION today! (as of July 2023) 💸 💸

Now you have a brief introduction to 3 different investment strategies! ⚡

Ultimately, deciding which strategies to use depends on your risk profile, and your desired returns over time

Test your knowledge

Which investing strategy has the shortest timeline?

Choose an option

What is value investing?

Choose an option

Warren Buffett uses which investing strategy?

Choose an option

What's next?

Featured Lessons