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Modern Trading and Investing: The Risks and Rewards

  • On the Money Magazine
  • 4 days ago
  • 2 min read

Nimay Piparia, Walter Payton, Sophomore


As technology in our society advances, both trading and investing is accessible but it is becoming increasingly challenging to succeed. This accessibility to stocks, exchange-traded funds, or cryptocurrency is an advantage for many people, but it comes with disadvantages regarding success rates influenced by a person’s experiences or emotions that may cause an obstruction. 

Mary Papazian, Managing Director and Finance Professor states that “starting at a younger age allows you to gain progressive rewards by using long-term investments that are bound to grow slowly but surely in the future”. Beginners often engage index funds or ETFs like the S&P 500, which have consistently shown growth since the 1930s.  Long-term investment is primarily used to reduce the unpredictability of the modern market as it fluctuates very frequently.

Age is a major factor influencing investment habits due to the experience and time dedicated to the market. According to a study done by the Pew Research Center, “Americans between the ages of 55 and 64 are the ones who invest in the stock market the most on average” (Pew Research, 2024). 

In contrast, day trading is a fast-paced method of buying and selling stocks within the same day to profit from short term rapid fluctuations. In our modern world, trading has gained popularity among a younger population seeking quick profit. From experience, Alexander Ford, a student at Walter Payton College Prep and a part-time trader,  states that “in this day and age, trading can become excessively difficult or time consuming and not worth the imbalance of risk and reward”. 

Moreover, Lori Schock, Director of SEC’s Office of Investor Education and Advocacy argues that “it can be especially difficult to check your emotions at the door when making investment decisions in this kind of environment, which may lead to some costly financial mistakes up to twenty five to thousands of dollars lost”(Schock, 2025). Because of challenges in this environment, trading becomes harder for people to keep up with.

Whether you are a young investor or an experienced professional, understanding the basic/key principles of investments of any type is essential. By learning at a young age, controlling your emotions, and understanding current trends, you will be able to make astute and apt financial choices that will continue to benefit you in our modern society. 





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