Trading and Investing

Recently I happened to meet with two of my friends who have been investing in the stock market for a long time. The first person is not a long term investor. He is a trader although not a day trader. He quoted a particular stock and said he had bought and sold the same stock at least five times in the last 10 years. He definitely gained 20% on each of the transaction.
Another friend has been holding the same stock from last 10 years. He had invested a few thousands. Now the stock after multiple splits and bonuses stands at a couple of lakhs. He has got back more as dividends alone.
Although trading seems to be tempting, Trading alone is not capable of creating wealth in long run. People should understand "Investing " in true sense. Once they pick the right stock, they should be patient for long to reap the benefits. So, it is important to invest money (that you dont need atleast for a couple of years ) in stocks.
Be a PATIENT investor to create WEALTH.

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