خرید و دانلود نسخه کامل کتاب Financial Trading and Investing – Original PDF

A trade is a security transaction that creates or alters a portfolio position based on an investment decision. The trade action and the trade decision follow the investing decision to buy, sell, or otherwise take a position in an asset or instrument. The trade decision con- cerns how to execute the investment decision, in which markets, at what prices and times and through which agents. Trade decisions are more concerned with the speed, costs, and risks associated with executing the transaction, while investing emphasizes selection of the security. The investment strategy is linked to the rationale to buy or to sell (e.g., to exploit undervaluation). Investing is a positive sum game, allocating capital towards production and risk management. Trading is often a zero sum game, except to the extent that it facili- tates investing, produces information, and improves markets by enhancing liquidity (ease of buying and selling securities) and reducing execution costs. While investing and trading activities might be distinguished from one another, there is a significant overlap between them, where high-turnover short-term investing, also referred to as trading, blurs the distinction between the two