Stock Market For Beginners (2020)

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Indian stock market
It is said that building is good if the base is good. Today I will improve the knowledge base of your stock market through this blog so that you can earn a lot of money by stock market of India.
Hello friends, I am Manish Patel, today I will clear all the bases of the stock market.
The beginner is scared of the name of the stock market but our friends who are making a lot of money from the Indian stock market. But our family members say that stay away from it.
If you are a commerce student then you would not have been taught well about the stock market. In such a situation, it is very natural to be Confucian or nervous. But today and after reading this blog, all your confusions will be gone and you will know that you have to invest.
stock market
First of all, I increase your interest by telling you to be a fan fact. If 40 years ago you or your family have invested 150 dollars in Wipro company, today you would have received 140 million dollars in return. This is amazing. So now you must have understood how much the stock market has potential.
Now with this example, do not think that I want to enter you in the share market at all costs. Definitely, there is also a risk in this Market.
There are many companies in which if 40 years ago, you had invested 140 million dollars then today it would have been 150 dollars. So the more benefit this market can provide, the more loss it can make. But the loss should be at least and the profit should be maximum, so today I will tell you about the share market from this blog.
stock market
So today I am going to cover all the questions that all beginners have and maybe you will also have.
 let us know which questions are covered in this blog about the share markets.
  • Is share market risky 
  • How many returns can I expect
  • How much should I start with
  • Process
  • Why the share market has a bad name
  • Can I invest without any commerce knowledge 
  • How does the share market work 
So let me clear all your doubt one by one.

1. Is the Share Market Ricky:

Basically, If you are buying shares of any company, then you are buying small ownership in that company.
Suppose you put money in your friend’s business and if that business flopped then Your money will be lost. In the same way, if you bought a share of any company and that company was drowned, then all your money would be lost.
This is exactly the same way as if you invest money in a friend’s business because if the business is successful, then we will be profitable or else you will have to suffer a little loss.
Indian stock market
India and USA have such big companies that shut down after some time But there are some small companies that have become very big today and whose share value has become very large.
Eicher Motor is a company that had been incurring losses for the past several years, but it only increased the value of its share several times by bullet bikes. Definitely, it is a bit risky but that is why the returns are also high.

2. How much return can I expect? :

Now the second question comes, how much will I get returns, then I will give the same example again If you have invested money in your friend’s business, then who knows that next year you will get a profit of 10% or 50%. There are many such shares in this market, whose value does not increase even in 10 years, but many such shares available in this market whose value increased in a few years.
Indian stock market
It is only a matter of one share, but when you have to invest, do not invest in one or two shares but in 8 to 10 shares because even if one or two of those companies go down, then the whole money will not be lost.
If you have invested money by doing your plans well, then you can expect that you got at least 18 to 25% of returns in high growth country like India or USA. There are many such investors who have invested up to 30% by investing money in very low growth countries.

3. How Share Market Started?

The third and best question is how many rupees to start. See, how much capital you are investing in the share market, it is more important than in which types of shares you are investing money and how much Consistent return does they give.
I give you a small example, you have to put 50 dollars in the share market of India for the first year and you have to increase 15% in it every year then, after 25 years, you will get a return of about 0.2 million dollars. The only condition is that you have to keep investing for 25 years and you have to increase the amount by 15% every year.
Will you know how I calculated all this?  By SIP CALCULATOR

4. Process Of Share Market:

The fourth question, what is the process going to start this. What should we do if we want to start it? The process is very simple if you want to start then all you need are three documents.
  • Adhar Card
  • Pan Card and
  • Bank Account
stock market
After that, nowadays the whole process goes online. There are many discount brokers, like Zerodha, you can open your account very easily within 3 to 5 days. Using this app is very simple. In this, without any physical paperwork, the online account only opens for Rs 300. After this, you can start trading in share market of India. This application is very good for beginners.

5. Why the stock market has a bad name?

5th question, if everything is good then why is the name of the stock market so bad? Let me tell you a simple region, this is the problem of Mindset.
Suppose if you buy a property or gold, then you do not think that after 5 or 6 months I will sell it after its price is doubled. Means we give them time to grow our property. So give some time to your stock too.
You have never come to the share market thinking that I have to become rich overnight. If you consider the stock market as gambling, then you will lose. You can expect returns from 18 to 20% from the stock market. returns of more than this will be like a bonus to you. That is, if you get a return of 18 to 20%, then your money will double every 4 to 5 years.

6. Can I invest without any commerce knowledge?

There is a question in everyone’s mind that if I have not read any commercial subject, can I invest in the share market? Good news for you, yes you can do this. Which is your stream or which is your background, it does not matter much.
stock market
I give you an example in which a survey was done in the USA which told some 10-year-old children and some chartered accountants to pic some share and makes a basket.
You will be surprised to know that the value of the shares which were chosen by the children increased after a few years while the value of the shares of the chartered accountants decreased.
This happened because whatever brand of chocolate the kids liked, they choose the stock of the same company. They understood which type of chocolate is the best.
So if you too are going to buy some shares, then find out which type of company will have more scope in future.
 Like those children, you also think that which company is satisfying its customers.

7. How does the stock market work?

Now you know what the concept of this stock market and why its price keeps going up and down.
If you need some money to open your business, then that money will be given to you by your family members or your friends.
If you need a little more money then you will get money from the bank. But suppose you are needing 50 million dollars to open a company, So who will pay you so much money in such a situation? The public will give you that money.
That means, if you understand your business model to peoples and people will start trusting your words, then they can invest money in your company. In return, you have to give shares in your company to those people who have invested money in your company.
stock market
But sometimes it happens that you took a share of that company today and tomorrow you need the money and you have to sell those shares now. but that company will not buy the shares from you because it also needed money. That company has started setting up its own factory by taking money from you.
In such a situation, there should be a market where you can sell the share of that company. So the same market is called the share market. Where you can buy and sell the shares of 4000 company whenever you want.

Friends, if you still have any doubt in this blog of the stock market, then you can follow me on Instagram. Where I will give an answer to all your questions from the details.


0 Comments

Learner'sSpot · July 29, 2020 at 9:52 am

Nice content…

Isuho Friday · July 30, 2020 at 6:27 am

I will to know more about investing

Travelomania · July 30, 2020 at 7:47 am

Informative

Mohammadtech · July 30, 2020 at 8:41 am

Soon I need to start trading

Nice · August 1, 2020 at 5:37 am

Brilliant

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