This document outlines three main types of stock trader: growth centered, value focused, and income oriented. Growth centered traders invest in companies expected to experience above-average earnings growth. Value focused investors search for underpriced stocks compared to competitors, though the company's dealings must not be manipulated. Income oriented traders take a conservative approach focused on capital preservation and steady returns through large, stable companies or industries like certificates of deposit.

1. Stock Trader Types

2. Growth Centered Trading
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Buying a stock from a company that will grow
Investing in new companies
Dragon’s Den
Company grows = Value of stock rises
RISKY but could be quick money
Lots of research in company
Earnings grow at an above-average rate

3. Value Focused Investing
• Look for underpriced stocks
• Trick to finding them: Look for company’s stocks
that are priced lower than competitors
• NOT VERY RISKY
• BUT make sure that the company has not
manipulated the dealings to make the stock fall
▫ They can do this by “pumping and dumping”
through promotion

4. Income Oriented Investing
• Very conservative
• Capital preservation and low stock price
fluctuations
• Relying on a “slow and steady” rise
• Investing in BIG companies or industries (i.e.
Certificates of Deposit  they are boring)
▫ Deposit money into a financial institution for a
limited amount of time with a fixed interest rate

5. Good Websites to Check Out:
• http://www.forbes.com/sites/lawrencelight/201
3/01/07/how-to-find-low-risk-high-returninvestments/
• http://en.wikipedia.org/wiki/Market_manipula
tion
• http://www.rense.com/general86/MANIP.HTM
• http://www.investopedia.com/university/introd
uction-stock-trader-types/