Going Long

The term “going long” refers to the act of opening a long position – making an investment which would profit from an increase in the value of an asset.

When you buy shares in a certain stock, you are going long on that stock, meaning that you expect the value of the stock to increase.

Example: An investor buys 100 shares in a software company at 17 Swiss francs per share. If the value of each share increases (to 19 francs per share, for example), the investor will make a profit in the form of a capital gain. If the value of the stock decreases (to 15 francs per share, for example), the asset will be worth less and a capital loss would result.

See also: Going short

More on this topic:
Swiss stock broker comparison