Paper Trade

In trading, the term paper trade denotes a simulated trade which is performed without the transfer of money.

Paper trades are most commonly performed by trading simulators, such as the free demos offered by many Swiss online trading platforms.

In paper trading, actual rates, spreads, fees, terms and conditions apply, but no actual money is invested. This allows investors to simulate trades and investments without risk.

Trading without using real money is highly recommended for individuals who are new to investing, as well as experienced investors who are new to a specific trading platform or investment vehicle.

More on this topic:
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