The risk of spot gold investment is definitely much greater than that of stocks. When it comes to the variety of margin trading, of course, the risk is much greater. The capital ratio of stocks is 1 to 1, and the margin ratio of spot gold is generally between 1 to 1 00. For a simple example, if gold goes up or down 1 dollar, your profit and loss is 50. There are also restrictions on the rise and fall of stocks on that day. This is a natural comparison of risks. If you make a short-term profit, spot gold is indeed a very good investment tool, first of all, because it is a T+0 trading system. The stock is T+ 1 trading. On the other hand, there is a trading time limit for stocks, which is only four hours a day. Spot gold is traded 24 hours a day. In addition, its margin trading mode provides a small and broad market for investors, and also provides convenient conditions for some people who want to play big transactions with small capital stocks. So risks and benefits coexist, depending on how you choose.
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