stock market Guide or what is share market
Dear Friends ,
Every body want to become a rich and famous that's why everybody is do hard work in life. you can know that not only hard work but also some saving is also needed to life for some expensive just like marriage , children future etc.
But money saving idea is less effective still you did not invest it right place .
Somebody want to invest their saving in stock market (share market) but their has no idea about share market right now I will explain what is the stock market and basic information about stock market .
what is stock market ?
stock market is that place we can hold share and mutural fund , debentures fund . To purchase and sell any share only on the stock market . In india there are tow stock market BSE and NSE means BSE stand for Bombay stock Exchange and NSE stand for National Stock Exchange.
Now we will consider or our question rise what is share ?
The meaning of share is partnership with the company. when you take any company 's share you become part of the company . If any company launch 1 lakh share and you brought 10000 share then you are make partner of company 10% .
what is ipo ?
first any company make listing their share is call "IPO" means initial public offering . and their share and by the broker share can sell . initial share price is make as for rules SEBI . after offering as for company profit it high and low .
Firstly, when the IPO is done, the price company of the shares determines, but once the IPO is completed, there is no role of the company in determining the value of the shares, and the value of shares is freely based on the shares of Demand and Supply by the Stock Exchange. Are determined.
How share market Fluctuation ?
If the number of shares sold in comparison to the Shares purchased is reduced, the prices of Shares will increase and if the number of shares purchased is less than the Shares sold, the share price will be reduced.
After being registered in the stock market, companies have to periodically share all the important information with the investors and on the basis of this information, investors value the companies. Depending on this evaluation, the decrease in demand and supply of shares is the price change of shares.
what is Sensex and Nifty ?
friend we normally heard that today is nifty 50 point minus and sensex 300 point plus so what is nifty and what is sensex ?
Sensex is the index of Bombay Stock Exchange and Sensex is determined based on the market capitalization of the top 30 companies listed in BSE. Sensex displays the performance of top 30 companies of BSE. If the Sensex grows then this means that most companies registered with BSE have performed well and in the same way if the Sensex falls, then it means that more Shaw companies have been performing poorly.
Nifty is the index of the National Stock Exchange and it is determined on the basis of market capitalization (the total value of the companies) of the top 50 companies listed in the NSE. If Nifty grows, then it means that the registered companies in the NSE have performed well and if Nifty decreases, it means that NSE companies have done badly.
How can we purchase share ?
what is trading account and what is Demat account ?
before we invest in share market we need to open an demat account . the bank can deposit the money in the account, all the securities like Share, Bonds, Government Securities, Mutual Funds etc. are all stored in the electronic form in your Demat Account.
Trading Account is used to make Share Sell and Purchase in your stock business. You can open this account with a good broker and because of the online facility, you can buy and sell shares with the help of this account.
You need to get KYC from your bank to open Demat Account and Trading Account. In a way, this account manages your funds, which contains all information related to the purchase of shares and fund units etc. You can open this account from the bank in the same way as you open a normal account from a bank. The documents you will need to open Demat and Trading Account are as follows:
Pan Card: To open any demat or trading account you need it very much as you can not open any account without it. Therefore, an Attested Photocopy of Pan Card is the first and most important document.
Photo: You should have a photo of your latest passport size.
Address Proof: You can use the Aadhaar card to prove your residence location.
adhar card is also needed
Cancel Check: You must have a cancellated check written in your name. If you do not have this, do not worry, the bank statement of the last six months can also solve your problem.
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