What is a share market:- Do you want to know about the stock market or share market? If you really want information about them, then this post is going to be very special for you. You must have heard about the stock market and share market from many people. But they will not give you the correct information. Today I will clear all the things related to these two. So let’s start:-
What is stock market or share market ?
What is stock market or share market: – So first we will know what is stock market or share market then we will talk about how you will invest money. Let me break the word share market into two parts first:- Share + Market. In this way, you will be able to understand it better. This means such a market where there are many big and small companies and there we buy some part or piece of those companies. In that market, all the listed companies issue shares for some money(which may be different for all companies) to sell their shares.
Then those who have knowledge of the stock market and the share market, buy or sell those shares and when the price increases, Traders who invest money in the share market earn a lot. But when the company incurs losses then they also lose their money.
Explain the stock market in India
Let us now explain the stock market to you properly. Suppose you have started a business recently but now you need a lot of money for the business. So what will you do? Either you will take a loan from the bank or you will ask from the family. But even easier and better methods are available today. In fact, when you spend money in the share market, you must be thinking where do I spend money, and what is the benefit of the company?
So let me tell you for your information that if your company does not have money or there is no money for your business, then what does the company do it gets itself listed in the stock market so that people can invest money in the company when the company makes profit you will get return otherwise you will also go in loss. That is why it is said that a lot of attention needs to be paid while selecting the company.
How to get a company listed in the stock market?
If a company has to be listed in the stock market, then first of all the company has to give all the necessary information to SEBI. Then SEBI (Securities and Exchange Board of India) decides whether the company is fulfilling the necessary conditions to be listed in the stock market or not. After that SEBI gives approval to a company. Companies have to face many difficulties to enter the stock market.
Listing requirements of the stock exchange in India
What is the value of the company in the market, it is also necessary for the company to have a share of at least 25 crores in the market, not only this, the company also needs a capital of 10 crores for IPO (Initial Public Offering).
Why share market goes up and down ?
It is well known that if the demand of a thing is high, then its price increases, and if the demand is low, then the price will also decrease. In the same way, if the demand for the shares of a company is very high, then its price will start touching the sky.
How to buy shares online in india ?
Now let us tell you how you will buy the shares of a company, what is its process
To buy the shares of any company, it is necessary to have the following things: –
- Bank account
- Demat Account
3. Trading Account
- Bank Account: – If you want to buy shares of any company, then it is very important to have an account in any bank, if you have an account in the bank then it is very good. Otherwise, you will have to open an account. You will buy shares through this account.
- Demat Account: – When you buy your stake in a company, the Demat account stores all the details as proof. All the details related to which company’s shares you have bought are stored there.
- NSE (National Stock Exchange) & BSE (Bombay Stock Exchange) these companies do not sell or buy direct shares, in such a situation there are some brokers apps ie companies through which we sell or buy shares, two of them are very popular Angel Broking & Zerodha.
How to buy share with zerodha ?
Means you have to open your account on Zerodha! Broker companies will take a small payment from you, then you have to fill information related to Aadhaar card, broker companies will verify by sending OTP to the registered number in Aadhaar card. When your Demat account is opened with the help of a broker, then you will be able to trade easily.
Ways to earn money from share market ? Most Popular ways
Intraday Trading: – This type of trading is very popular among people, the reason is that in this the shares have to be bought and sold on the same day.
Swing Trading: – What traders do in swing trading is that they buy stocks and keep them with them for weeks to months and when the price starts rising, they sell them.
Short-Term Trading: – In short-term trading, traders buy and sell shares in just 10 minutes to a week, in this there is more benefit only after investing more money, so there is more possibility of loss in it.
Long-Term Trading: – This is also the most popular way to invest, in which traders buy and leave shares for a long time, in this the profit depends on the growth of the company. Know more on Businesssense.in