LeoGlossary: Trade

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A transactions whereby participants make a voluntary exchange of goods or services. Both parties engage in the activity if they deem it to be of benefit.

Trade can mean a couple of different things:

In the financial area, it refers to the purchase or sale of stocks, commodities, cryptocurrency or other assets.

With the idea of free trade, this means the flow of goods across national borders without tariffs or barriers.

Some of the different trading vehicles that people can use:

Traders are different from investors. The latter is seeking long term gains whereas the former is concerned with short term moves. Traders will buy and sell the same securities repeatedly to achieve their goals.


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