trading

speculation

The practice of making high-risk financial transactions hoping for substantial gains, accepting a significant risk of loss.

Example

"His speculation in cryptocurrency made him rich one year and broke the next."

💡 Memory Tip

SPECUL-ation — you're SPECULating (guessing) that prices will move in your favor.

Etymology

From Latin 'speculari' meaning 'to observe, spy out' — watching for opportunities to profit.

Common Misspellings

speculatonspecualtionspeculaionspeculaation

Related Terms

riskvolatility

See Also

tradinggambling

Want to understand money better? Get money tips and new terms in your inbox.