Index trading VS Stock trading

Learn why Index trading is better than stock trading

  • More profit
  • Less risk
  • Lower stakes
  • Faster turnover

Stock Market trading can take a long time and exposes you to high risk

In common forms of Stock Market investing, investors actually purchase the asset they invest in; and the value of the profit or loss is determined upon the changing value of that asset.

In traditional trading, when a stock is purchased (let's say for $10) and that stock moves up by 10% and is then sold, the investor would make 10% profit ($11 in total, or $1 profit).

If the investor sells the asset back to the Market whenever its value increases, they make a profit. If they sell the asset back to the Market when its value decreases, then their money is lost.

This type of investment requires the investor to constantly worry about when to sell the asset and get out of the Market to avoid exposing their entire account to the Market's volatility.

Index trading is much simpler and more effective

Unlike traditional trading methods, in Index trading, you trade ON the Market and not IN the Market. You are simply predicting the asset's movement for a predetermined time frame. Instead of purchasing tangible assets such as Shares, you are trading on the movement of a variety of Market Indices around the globe.

Indices constantly rise and fall throughout any trading day. M.A.Y. uses a variety of analytic specialists, analysis software and algorithms to determine the direction in which a Market Index is going to move. For example, if a Market Index has been predicted to move 'down' and you have placed your trade/wager/bet on that prediction, then you gain a financial return. It is possible to generate profits whether an Index moves up or down.

Essentially, it is simply an UP or DOWN decision over a specific time frame; thus, you only ever expose a small portion of your trading capital over a short period of time. Your remaining trading capital remains safe in your trading account. Although the topic of Stock Market trading may seem daunting to some, don't be put off by this notion, as there is absolutely no need to understand its intricate workings in order to financially benefit from Index Trading.

This type of investing is normally done in conjunction with a professional company specialising in this expert field. Owning a trading package with MAY means that all the research and analysis is done for you by our team of trading professionals who have over 40 years of combined knowledge and experience in Stock Market indices, trading and analytics.

We provide you with all of the necessary information and the trading platform from which you place your trades, hence, you only need to spend a few minutes a day in order to generate consistent profits. Simply put, you are able to profit from Stock Markets around the Globe despite the economic upheaval each market might be experiencing at any given time.

Index Options vs Forex

Forex Trading

When trading Forex you are speculating that the value of one currency will increase or decrease compared to another, in an attempt to make a profit. For example: The current price of EUR/USD is 1.30850 and you think the price will increase in the future. You buy 1 lot of EUR/USD and wait for the price to increase to the point where you want to close the trade and realize the profit you want.

Index Options Trading

When trading Index Options you only have to predict if the price of an asset (for example currency pair or stock) will increase or decrease from its current price over a certain period of time. For example: The current price of EUR/USD is 1.30850 and you think the price will be higher in the next hour. So you place a "Call" option on EUR/USD and wait to see its price 1 hour from now. If your prediction is right you can make a profit of 80% of your investment.