This raises curiosity among the general public, but unfortunately, many of us need to realize that trading is different from investing. Often we assume that trading is investors or vice versa.

If we examined using the terms of the investment world correctly, the two have differences in their understanding. Even though investors and traders are both reside in the realm of the investment market, the use of this term does not fit. This difference is visible in terms of how it works and the perspective of the investing strategies.

Trading is an act carried out in the financial market. This act is not just the process of buying and selling ordinary goods or services but also economic activities carried out in a short time to get maximum profit.

On the other hand, stock investment is investing money or capital (valuable assets) in stock instruments to generate significant wealth assets. When you buy stock from a good company and are able to hold it and release it at the right time, you can achieve significant profits. Hence in-stock investment, decisions are not influenced by market fluctuations, considering the goal to be achieved is long-term. Conversely, in trading market fluctuations significantly affect decision-making.

Trading and investing in stocks (Investors) also have different strategies, actions, and principles. This difference also then has a different impact on the execution and actions. For example, a trader will respond differently to rising stocks than a stock investor. Traders can trade investments constantly and daily, while stock investors will place their funds for a longer period of time.

Therefore, before you start putting your funds into stock investment products, you must comprehend the benefits and risks.

Here are some tips to start investing safely:

1. Get to know your investment profile

We all have a unique investment profile, because each individual has their own goals, time frames, and risk-taking and expects different levels of return.

2. Product type that fits your need

Choose a product according to your needs, based on the introduction of an investment profile. One can choose the type and investment product that suits you.

3. The legality aspect of shares

After understanding the type and investment product you need, when you are going to buy a stock trading or investment product, you must ensure that the institution or the one offering the product has obtained a business license according to its field.

4. Understanding regulators 

You need to understand the regulators that supervise the company that trades the investment product. This is a necessity if something occurs in the near future.

5. Understand product terms

You need to understand carefully the provisions relating to the product, to ensure that consumers are fully aware of their rights and obligations, benefits, costs, and risks associated with the product. 

If you are still trying to decide the right stock trading and investment product. You can choose financial management and security according to your needs and financial goals with BRI Prioritas through consultation with a Priority Banking Officer.

BRI Prioritas provides a variety of investment products that are suitable for you, such as BRI Danareksa Sekuritas, which has been one of the best securities in Indonesia for more than 40 years. BRI Danareksa Sekuritas provides comprehensive services in the capital market as a one-stop financial solution financial service.

Start investing safely with BRI Prioritas so it's always easy to grow!