speculation is the short-term buying and selling of assets that have a significant risk of loss but also a significant potential gain. instead of analyzing an asset's fundamentals, a speculator may trade an asset based on a ?. it can be difficult to distinguish between speculation and investment. when comparing the two, consider the type of asset, the anticipated holding period and the amount of leverage used. for example, if jane buys a single family house in a ? neighborhood, puts 20% down and lives in the house for the next ten years, her purchase would be considered an investment. however, if jane buys ? in a london neighborhood, finances the entire purchase and hopes to sell the property quickly for a 10% profit after giving out a fresh colored paint, her purchase would be considered speculative. as another example, if jane is 25 years old and doesn't plan to retire for 40 years, putting a significant percentage of her savings into small cap stocks would be considered investing. while small cap stocks are generally risky investments, they're expected to provide above average returns. the same purchase by ?, a 64 year old, who hopes to retire and sell the stock within an year would be considered speculative, because it's highly uncertain whether the small cap companies would perform well over the short-term.
- put down・・・頭金として～を支払う