The two types of participants in equity markets; Investors – who work on the principle of buy and forget for a long time in the belief that their investment will yield capital returns and dividends over time, and second are traders – who engage in the buying and selling of financial assets for a short period of time for profit. Investing in vision capacity to see a diamond in a coal mine. An investor should have a firm grasp on the fundamentals and target for the security. When markets are volatile, an inventor will sell his portfolio and seek refuge in safe heaven assets, whereas a trader will see volatility as an opportunity to profit from price movements.