Thread by @tradersushma

1/16

I am starting an FAQ series on topics related to #Trading, #Investing & #Personal Finance.

This is the 1st post in this series. Today’s topic is

🍁TRADING AS A CAREER OPTION🍁

A Thread🧵

#threadbytradersushma
#faqbytradersushma

2/16

Is Trading really a career option?

YES

Trading is still not acceptable career choice in our societal structure but nevertheless it definitely is one option. You can find numerous full time successful traders who earn their bread & butter by trading.

3/16

Is Trading a Legal Profession?

YES

It is one of the most common doubts among many Indian people- whether trading is legal even!

Mostly trading is considered similar to gambling hence this doubt.

https://twitter.com/uttamkamlesh/status/1415568794630590472?s=20

4/16

What is the educational qualification to become a full-time trader?

Whenever we open a trading & demat a/c we are not required to submit any of our educational certificates to the broker. So, this answers the question.

5/16

But in my opinion, one has to acquire a minimum knowledge of High School Mathematics to understand the basic concepts.

https://twitter.com/tradersushma/status/1417391471997591554?s=20

6/16

Is trading a business?

YES

Even though there is no visible infrastructure required & one can start trading with just a laptop & an internet connection, trading is treated as a business.

7/16

Reasons:
1. Sufficient capital is required.
Money is the raw material in trading.

2. Business mindset is required.
Trading income is not linear. Just like business, there is lean & peak season. Cash flows are irregular.

8/16

There is no regular stream of earnings in trading. It's a roller-coaster ride with lots of ups & downs.

So, to survive here one has to have the Psychology of a business person.

9/16

Do we need Entrepreneurial skills to become a successful Trader Professional?

YES

As discussed earlier, trading is a business. Hence one should possess the acumen of a business person.

10/16

If u is comfortable with the regular stream of income in the form of salary maybe trading is not your cup of tea. Here the journey is not smooth. The ride is filled with troughs & peaks & the income stream is not regular.

11/16

Sometimes no new income generates for months or more, drawdown sets in & a/c dips >20%. Income can give surprises too giving 100% returns in a month. External factors ruin the existing set-ups. These r just few examples.

12/16

Also, one has to maintain his mental cool while undergoing all these situations.

So, u have to come out of the comfort zone to survive here.

That is why Academics is not the hindrance to become a successful trader but Psychology is.

13/16

How do we know that we are meant for trading career?

Just give it a try.

No one is born with prior knowledge of what he’s gonna do in future. Dr, Er, CA, Lawyers etc were not born with a sticker on their forehead stating their career choices.

14/16

They gave it a try & some came out successful. Similar is the trading field.

Sometimes we ourselves don’t know about our capabilities. Maybe we have a steel mind required to become a Professional Trader but how do we know it?

15/16

So, before coming to a conclusion & discarding the idea, give it a chance, try up to your full capacity with 100% commitment & dedication & u never know, may be Trading was in your blood!

So don’t discard the option before exploring the field.

16/16

That’s all for this thread.

If u have some queries on this particular topic, post it in the reply section.

Do hit the retweet button for wider audience.

Thank u for your patience!