Although I hate “labeling”, I am cognizant that to “fit in”, I have to “label” myself in a language that others understand. In investing circles (blogs/forums), I will call myself a growth and income investor. In trading circles (war-rooms/arcades), I will call myself a swing trader. It’s like how ants or hyenas smell their own kind. If I don’t smell “right”, I will be excluded. So just like the Arabian caravan trader of the old silk route, I antenna ant here, laugh hyena there; I am citizen of the world! But in my hearts of hearts, I know what I am. I am a speculator. It’s both to pay homage to Jessie Livermore and a better reflection of how I trade/invest. Let’s take an example. If I buy an Ipad today, and flip it to someone at a slightly higher price the next day/weeks/months, I am a trader? But if I store this Ipad for 30 years and sell it as an antique or collector’s item, I am an investor? Is there a difference? Only the time horizon? I like the distribution bell curve. A small minority will make money big time, the big majority just break-even, and another small minority will lose money big time. I don’t have scientific proof, but I personally think the distribution bell curve applies to both investors and traders! Just look around us ;) Calling active trading a fool’s game and calling oneself an investor does not make the odds of financial gains better – at least for my case. I don’t want to rub it in, so I won’t ask for your XIRR if you call yourself an investor. Cannot beat inflation rate of 5% (mid-point), you know where you fit in the bell curve…  I prefer to use money earned and hours invested:   a) I made $10,000 in a year and I spent 52 hours (I hour a week)  b) I made $10,000 in a year and I spend 2,920 hours (8 hours a day)  Which do you prefer?  I’ve realized that the more hours I spent, the more money I lose! After lots of reflection and “expensive” school fees (I went to the best school – it’s called the market), I’ve found my optimum mix. My speculation time horizon is between 6 to 18 months. Whether it’s a trade or investment I’ve no clue!  What counts – as with all endeavors – is the grey matter between our ears, and the pump in our chest! Got brains no baxxs, dare not pull the trigger. Got baxxs no brain, die male chicken standing. (I really pray no readers are below 18! Female readers, I really can’t find a good metaphor for heart… Sompa!)   Why homage to Jessie Livermore? It’s because he has won and lost big time. Each time Jessie went bust, he can pick himself up! I have to believe if he can do it, so can I.  However, the more poignant reminder to me - in the end, Jessie Livermore blew his brains out… If Jessie can, so can I…  I too have blown my account out before. Although I have picked myself up and recovered and thrived again, I am aware the seeds of self-destruction still lie within me. They are merely suppressed; not removed.   That’s why I am focusing so much on the “mind”. It’s the “mind” that wags the tail of money management and method. Or is it the other way round?  It’s Friday! Enough philosophical “koyok” from me.   Have a super weekend everyone! Singapore Man of Leisure (welcome to my blog; just google it!) This post was written by a guest contributor. Please see their details in the post above. If you'd like to guest post for TheFinance.sg, feel free to contact me for details about how YOU can share your tips and knowledge with our community.