What Is Stock Market and How it Works For Begginers

Have You Guys Also Struggled Like Me To Know What Stock Market And Investment is??. But After Reading This It Would  Clear All Your Doubts And This Would Be Really Valuable For You All Who Want To Generate Passive Income From Stock Market For Which You Dont Have To Work. Your Existing Money Would Work For You To Give You Excellent Returns. This Would Amaze You And Be Ready  Change Your Financial Mindset And Take Good Returns. Now After Telling You The Importance And Your Returns From Stock Market You Need To Understand What Stock Market Is And How You Can Implement The Magic Of Compounding In Your Life. Compunding Is a Basic  Concept From Which Welthier Person Become Welthier and Poor Remains Poor. Compunding Is a Separate Topic About Which We Would be Disscusing In Another BlogPost .So For Example, Stock Market is Nothing Different From Vegetable Market Difference Between Them Is Only That In Stock Market You Trade In Shares Of Different Companies And in Vegetable Market You Trade in Vegetables.Vegetable Seller Buys Vegetable From Central Market And Sells You Vegetable Similarly There Are People Called StockBroker Who Buys Shares From Companies And Sells It To You For Which They Charge Brokerage Fees. Different Companies Launches Its IPO (Initial Public Offering) About Which We Would Be Disscusing in Other Posts. A Company Basically Offer You Some Amount of Ownership of Company By Giving You Shares of Their Company by Which You Could Become A Small Percentage of Owner of The Company For That They Charge Some Amount Of Money From You For Purchasing Share of Thier Company.So You Would Be Asking How Can We Earn Money From It The Answer Lies Here That After Becoming A Small Owner of Company By Purchasing Share if The Company Would Make Profit in Future And Make Good Returns It Would Directly Be seen In the Aprreciation of the share Purchased By You.For Example A Company Offers You 1 Share For 100 Rupees and You Decided to Buy 100 Shares of That Company Which Would Cost You  10,000 Rupees.In Future If Company Makes Huige Profits It Would Cause In Price Appreciation Of Shares Of That Company if 1 share of That Comapany Apperciates By 100 Ruppes The Market Price of That Share Becomes 200 Rupees and You Have purchased 100 Shares of That Comapany And Each Share Has Appreciated By 100 Rupees So By Multiplying 100 Shares By 100 Rupee You Would Have Made 10,000 Rupee Profit On Your Initial Investment And This Is How Stock Market Works You Only Have To do Research And Analysis Of The Company of Which Share You Want To Purchase Whether it Has Capacity To Generate Profits At Future Or Not. and Please Dont Worry Some Words Might Be new For And We would Be Disscussing These Concepts In Further BlogPosts And We Will Teach You How To Do Research To Identify A Good Company That May Generate Good Returns on Future.Untill Then 

Bye Bye And Stay Safe At Home 


Post a Comment

0 Comments