Traders and investors are two different words which is frequently used in the stock market for selling and buying stocks. But they reflect two different philosophies. Traders are usually seen in the market only for a short period but investors are there for a long time. Among the two traders tend to be rich soon while investors took time to earn money. Investors spend a long time in the market to achieve a balanced portfolio and they can expect a minimum of 12 percent in return annually. Forex arbitrage protect themselves from risk but the greater the risk the greater the income. That is the policy of traders.