Trading a business/profession/job

[jain.er]

Just a weekend thought/discussion/chit chat

Is trading a business or a profession like CA/Lawyer or a 9 to 5 job ?

1. Traders have to themselves work daily to earn, they can leverage other people to work for them. This similar to doctors/lawyers (though not 100%) and job. But business can use subordinates to grow

2. In case Traders fall ill or they cant trade they loose their daily wage. Similar to docs but other stuffs like business CA firms etc keep on running

3. Trading is not inheritable well you can teach skills but thats different from a son inherintnig a father's settle business or a CA's son getting his father's clients or Doc's son leveraging his father's good name.

 

[suri112000]

If trading is like a business/profession, lot of big wigs (Tatas, Birlas, Ambanis) would have been into trading instead of building industrial houses. The industries have a flexibility of delegating the duties and responsibilities which trading lacks.

If you sell a good (item/service) you are certain about the outcome. In normal course of business, you exchange goods/services for a price which is pre-determined, static, certain and non-dependent on probabilities whereas the outcome of a trade lacks all these.

To become rich, one must have revenue in hand that is possible in normal businesses which pay taxes, levies later. Whereas in Trading, you receive what is left out after paying taxes, levies which is a clear indication that you working for others like a job (atleast job offers a guaranteed income) rather than yourself.

The figures won't lie. 90% of traders are loosers wasting their time, money, energy. This is attributable to the fact that trading is more of an art than a definite science. Science is definite and does not depend on probabilities. Art can be mastered by very few. (How many buildings constructed by architects collapsed, how many operations done by doctors failed, how many audits does by auditors rejected...............but compare it with trading......how many trades put up by a trader failed).

The attraction of a low capital start up attracts people towards trading. But many doesnot realize the probability of failure is more here than traditional businesses, professions or jobs.

My views.:thumb::thumb:

 

[newuser_RK]

Agree with you in parts. In other business too you earn for others first. Say you open a franchises, you first pay franchises fees, then rent then salaries then royaltirs than interest than tax remain part is yours.

 

[karthik_sri]

If trading is like a business/profession, lot of big wigs (Tatas, Birlas, Ambanis) would have been into trading instead of building industrial houses. The industries have a flexibility of delegating the duties and responsibilities which trading lacks.

If you sell a good (item/service) you are certain about the outcome. In normal course of business, you exchange goods/services for a price which is pre-determined, static, certain and non-dependent on probabilities whereas the outcome of a trade lacks all these.

To become rich, one must have revenue in hand that is possible in normal businesses which pay taxes, levies later. Whereas in Trading, you receive what is left out after paying taxes, levies which is a clear indication that you working for others like a job (atleast job offers a guaranteed income) rather than yourself.

The figures won't lie. 90% of traders are loosers wasting their time, money, energy. This is attributable to the fact that trading is more of an art than a definite science. Science is definite and does not depend on probabilities. Art can be mastered by very few. (How many buildings constructed by architects collapsed, how many operations done by doctors failed, how many audits does by auditors rejected...............but compare it with trading......how many trades put up by a trader failed).

The attraction of a low capital start up attracts people towards trading. But many doesnot realize the probability of failure is more here than traditional businesses, professions or jobs.

My views.:thumb::thumb:

Very true!!! Trading to be taken as Profession and not as a Job or even Business!!!

 

[headstrong007]

Trading is a HIGH RISK HIGH REWARD BUSINESS. It is not like any other traditional businesses. Trading is very competitive like SPORTS.
A trader is like a successful player. He can give up everything else to be successful.
He had some natural skills, but trained hard to know how to use them. Everyone can't be a trader.
Don't compare trading with any other business or job, a trader is like a SPORTSMAN.

 

[Subhadip]

F&o trading is business.