Everything you wanted to know about stock market investing-
Hello friends, welcome to this website. Today we are going to cover Everything you wanted to know about stock market investing. Today, in this article we are going to cover everything related to stock market like, what is stock market, what are the types of stock market, and about Everything you wanted to know about stock market investing. So friends, we are going to provide every detail related to stock market. Let us discuss about stock market.
What is Stock Market?
Friends, we all know there are different – different platforms which are available for investment of our money. So , I’m sure that you must have heard about stock market, share market, or about equity market so today I’m going to explain about Stock Market or share market or the equity market. These all three terms (Stock, share,equity) means same. They are the synonyms of Stock market.
Friends, Stock Market can be defined as Stock market is that platform which brings opportunities to both buyers and for sellers also. It is that type of which brings buyer as well as seller in one place for performing trade activities with publicly listed share companies.
So friends, we can say that Stock market is a platform that facilitate a place where trading can be done in a very systematic and well- structured manner. So friends, this is all about the definition of Stock market. Friends, I hope that this definition helps you to know exactly about stock market.
Let us discuss about it’s types-
Types of Stock Market-
Friends, Stock market are categorised into the two types and these are as follow-
- Primary Market
- Secondary Market.
Primary Market-
Primary Market- If we are talking about Primary market then Primary market is that type of market which provides you the place where the shares and securities of the companies are introduced for the very first time. The concept of IPO which stands for Initial Public Offering also introduced in Primary market. So friends, this is all about the definition of Primary market.
Friends, now let us discuss about the Functions of Primary Market-
Functions of Primary Market-
The following are the functions of the Primary Market-
- Primary market is a place where the fresh or new securities are sold. It provides place for new securities.
- It introduced the concept of IPO(Initial Public Offering).
- In Primary Market the policies or we can say that the securities are issued only by the companies.
- NIM which stands for “New Issue Market” is the another name of Primary Market.
- Overall we can say that Primary Market is basically a place or platform which provide the space for new securities.
Secondary Market-
Secondary Market- Friends, If we talk about Secondary Market then it is a platform or that place where the investors buy and sell that securities which they already own. So they perform buying and selling of those securities that they already own. So this is the definition of Secondary Market.
Friends, let us discuss about it’s functions-
Functions of Secondary Market-
The following are the functions of Secondary Market-
- Secondary market provides you liquidity.
- Secondary market facilitate you transparency.
- In Secondary market if we talk about the policies or securities issuing then it is not introduced by the companies directly.
- Brokers played important in Secondary Market. In this type of market the buying and selling of securities are done with the help of brokers.
- Only listed companies are allowed to perform buying and selling activities.
Friends, let us discuss about advantages and disadvantages of Stock market-
Advantages of Stock market-
The following are the advantages of Stock market-
- It offers opportunities to the investors to invest their capital in a better place.
- It helps in capital growth.
- It provides high returns in short period of time.
- It provides liquidity.
- It also provides you transparency.
Disadvantages of Stock market-
The following are the disadvantages of Stock market-
- It involves risk, so it can be sometimes risky.
- It takes a lot time in it’s registration process so it is time consuming also.
- Actually there is no fixed returns amount.
- Sometimes you may face or encounter with frauds.
- It also involves market danger and all.
Everything you wanted to know about stock market investing-
Everything you wanted to know about stock market investing- Friends, let us explore everything that you should know about stock market investing. First of all it is important to know that Stock market or the Share market is a platform where buying and selling activities or in other words we can say that trading activities are performed.
It is a platform where investors invest their money for more capital growth or for more returns. Stock market are basically involves the trading activities. It is a place where securities are sold. The Stock market are generally for Investing the money for high returns or more capital growth.
You should know about the certain things before investing in any Stock market and these things are as follow-
- Check all the policies very carefully before investing in any Stock market company.
- Check all the documents carefully before investment.
- Read the Terms and Conditions very carefully.
- Check the performance of the Stock market company in which you want to invest.
- Make sure to check all the documents and conditions and rules of that particular Stock market company.
So friends the above mentioned points are the few points which you should keep in your mind while investing in any Stock Market company.
Conclusion-
Friends, I hope this article provided you valuable information about Everything you wanted to know about stock market investing. Friends, Stock market is basically a platform which facilitates you to perform trading activities. This platform provides you help regarding money growth but you need to be very careful while investing your money in any Stock market. Hope this article helped you to know about Everything you wanted to know about stock market investing and about Stock market.
Q-1- What are the example of Secondary market in India?
BSE-(Bombay Stock Exchange) and NSE-(National Stock Exchange).
Q-2- What are the features of Secondary Market?
Transparency, liquidity and it also provides market efficiency which is important.
Q-3- What are the example of Primary Market?
IPO- (Initial Public Offering).
Tripti Dubey, Founder of : Triptitech.com
Hello friends! I am Tripti Dubey. I am a graduation student. I have a good experience about blogging. Friends, I also have a good knowledge about SEO. I did certification course in SEO. The main purpose of creating this blog is to provide fresh information to our users regarding education, technology and other technical news.
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