What are profits - a novice investor's piggy bank

2024 Author: Leah Sherlock | [email protected]. Last modified: 2023-12-17 05:25

Modern man is hard to imagine without the Internet. Moreover, it is from the network that we draw up-to-date information about events in the world, cultural novelties. Through the Internet we watch movies and listen to music, play and communicate. And it is the World Wide Web that has become the place where the bulk of all the planet's monetary resources are now spinning. Therefore, we can even earn money without leaving home, investing in those projects and companies that we learn about thanks to the Internet.

Introducing the word

In investment circles, talking among themselves, people wish each other "fat profits". How to understand this word, what semantic shades does it contain? Let's turn to explanatory dictionaries. Ushakov, Efremova, Ozhegov and other sources explain what profits are as follows. The word is of foreign origin (French, English) and is translated as "profit, profit, income." Antonyms to it - "loss, loss". In modern literary speech it is rarely used, most often with an ironic tinge. It was usually used in fiction and journalism when describing the bourgeois-capitalist world. Brightan idea of what profits are is given by the following quotation, cited as an example in Ushakov's dictionary entry. It is about capitalists who are so chained to their profits that they cannot think of anything else, human and humane.

Profit and modern business

Besides being negatively ironic, the word has another, neutral connotation. It appears when it comes to modern financial transactions, material investments, investments and expected income. The word is especially popular among Internet users who determine what profits are by following the work of companies such as Forex-Trend, Pegas-Invest, etc. Being engaged in passive earnings, investors, thanks to them, receive solid additional money, giving their funds for trust management on pamm-accounts or trading with individual traders. Internet business is one of the most popular and productive tools for gaining financial independence at the moment. Hence the final definition of what profits are in the modern sense of the word: earning and receiving dividends by investing, etc. through the World Wide Web.

Beginner investors

It is enough to type in the search line the query: "Where to invest money?" - how "Yandex", "Google" and other systems will instantly give out a huge number of pages with tens of hundreds of results. And every site owner willpraise their projects, advertise them. Therefore, in order not to get lost in a sea of information, it is important for novice investors to master the basic terminology, understand what is hidden behind tempting offers, and balance possible risks with expected returns. And to begin with, find out what profit is in Forex. Simply put, this is the profit that an investor and a trader receive as a result of trading operations, when a transaction opened for sale or purchase successfully closes in a plus. These actions are performed on the international currency market Forex. It represents various operations with money, securities, stocks, gold, natural resources, etc. All actions are performed online, automatically or semi-automatically, depending on the methods of operation of companies.

Purchase and sale

And a few more words about the mechanism of action in the Forex market. Like well-known financial exchanges, operations (games) are made for the purchase/sale (buy/sell) of currencies (currency pairs) and other valuables. Funds are deposited into special terminals where traders work. Brokerage companies provide access to them. When developing a trading strategy, each broker plans how much income he can give if he wins, and what loss his investors will suffer if the market goes “wrong”. Along the way, it remains to understand one more term: what is "take profit". Let's say a trader intends to sell/buy a currency at a certain, favorable price for him. It sets some parameters for the program (take profit limits). Upon reaching themthe transaction is completed automatically. This is monitored by the trading terminal. Then they get take profits.

So good investment and high income!