InvestNaija platform provides real-time access to Nigerian stocks on the NGX, so it supports buying and selling individual Nigerian stocks. But there is an important difference Investing: Buy MTN → hold for years → benefit from possible price growth and dividends. Short-term trading: Buy a stock → pRead more
InvestNaija platform provides real-time access to Nigerian stocks on the NGX, so it supports buying and selling individual Nigerian stocks.
But there is an important difference
Investing:
Buy MTN → hold for years → benefit from possible price growth and dividends.
Short-term trading:
Buy a stock → price moves up → sell relatively soon → try to capture the price difference.
InvestNaija itself describes trading as buying and selling assets over short periods, sometimes minutes or hours, with the aim of profiting from price movements.
The catch
Short-term trading is not guaranteed profit.
Example:
Buy at ₦100
Price falls to ₦95
You sell at ₦95
Loss = ₦5 per share, before costs.
And with less-liquid stocks, the price you see on the screen may not always be the price at which you can actually buy or sell your desired quantity. This is related to liquidity issue
InvestNaija platform provides real-time access to Nigerian stocks on the NGX, so it supports buying and selling individual Nigerian stocks. But there is an important difference Investing: Buy MTN → hold for years → benefit from possible price growth and dividends. Short-term trading: Buy a stock → pRead more
InvestNaija platform provides real-time access to Nigerian stocks on the NGX, so it supports buying and selling individual Nigerian stocks.
But there is an important difference
Investing:
Buy MTN → hold for years → benefit from possible price growth and dividends.
Short-term trading:
Buy a stock → price moves up → sell relatively soon → try to capture the price difference.
InvestNaija itself describes trading as buying and selling assets over short periods, sometimes minutes or hours, with the aim of profiting from price movements.
The catch
Short-term trading is not guaranteed profit.
Example:
Buy at ₦100
Price falls to ₦95
You sell at ₦95
Loss = ₦5 per share, before costs.
And with less-liquid stocks, the price you see on the screen may not always be the price at which you can actually buy or sell your desired quantity. This is related to liquidity issue
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