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In this blog, we are going to know about the stock market, which is also called share market, if you want to invest in the share market and want all the information related to it, then this blog is for you because in this blog you will get the information related to the stock market. All the information will be given so that you will be able to decide whether it is right for you or not.

What is Share Market?

Before understanding Share Market in Hindi, you have to understand that Share What actually happens.

What Is Share?

Share means share. If a company wants to advance itself, wants to prosper itself and needs a lot of money for it, then that company sells some of its ownership to others. And the money it gets by selling it. The company is engaged in its development.

Suppose you want to create a mobile company and have made a company by investing all the capital of your life, but you do not have any more capital to run that company or to give a little more development to that company, then you can start your own company. Will sell a small part of the ownership to someone else 10% or 20%. So the money that you will get by selling 10-20%, you will invest it in the development of your company.

When a company sells its shares, it loses the ownership of the percentage of the share it sells. And the person who buys that share becomes the owner of that percentage.

So the one who will have the highest share of a company will be called the owner of the company.

What would have been the share of the company, it must have been understood by now. Share Market What is in Hindi.

Share Market

Share Market is the place where the buying and selling of shares of many companies takes place. There, many companies sell their shares. By buying shares you are investing money in the company. As the company grows, your share price will also increase. When the share of that company will increase at a higher price, then by selling that share to someone else at a higher price, they can earn a lot of profit.

Suppose you had bought a share of MRF company for Rs 2000 and that company remained in good price in the market and the company is profitable, then the share price of that company will also be high. So the share that you bought for 2000 rupees, the price of that share has increased many times more than that, then at that time you can sell your share and earn a profit of that many times.

You will have profit or loss in the share, it depends on the price of the company in the market. If there is profit of the company then there will be profit in the share and if there is a loss of the company then there will be loss in the share also.

So always invest money in such a company which will have the possibility of making profits or else your money will surely sink.

By investing in the share market, you can fulfill your dreams like higher education, buying a car, building a house etc. If you start investing at a young age and stay invested for a long time, the rate of return will be higher. You can plan your investment strategy based on the time when you need the money.

Why do big companies sell their shares?

A lot of money is needed to run the company even in a big company, which that company cannot raise itself. That’s why he sells his shares to the people and invests the money he gets in his development. And in return the profit I get, he distributes the money according to the percentage of his shareholder.

When a company lists its shares for sale to investors, that process is called IPO (Initial Public Offer).

Where does all this share buying happen?

There are two major places in India in which the purchase of shares takes place. One is NSE (National Stock Exchange) and the other is BSE (Bombay Stock Exchange).

Both of these are controlled by SEBI (Securities and Exchange Board of India).

What are the types of Share Market?

  1. Primary Market
  2. Secondary Market

Primary Market

Here only new stocks or shares are bought.

If a new or old company wants to sell its shares, then it sells its shares on the primary market.

Here buyers get a chance to buy new fresh stocks or shares.

Secondary Market

Stocks or shares that have already been bought by someone else in the past and if they want to sell their shares to someone else, they sell them on the Secondary Market.

Here Second Hand Share is sold or bought, you can also speak.

How to Invest in Share Market?

You cannot buy shares directly. There are many intermediaries called stock brokers to do this business between the company and the share buyer.

But buying a share is not as complicated as it seems.

First you have to contact a stock broker. With its help, you will have to open a Demat Account and Trading Account where all your business will be done.

Then which company you should invest money in which you can profit, that stock broker will advise. According to that, you can buy shares by investing money in any company from Primary Market or Secondary Market or you can buy shares by investing money in any company of your choice, it depends on you.

Nowadays many mobile apps have also come where it has become even easier to invest in the share market which is completely online and safe.

What is the job of a Broker in the Share Market?

Broker or Share Market Broker helps you to buy and sell stock or shares. Brokers usually help buyers find sellers and sellers help find buyers. Most brokers will also advise you which stocks to buy, which stocks to sell and how to invest money in the stock markets for beginners. They will also assist you in trading in the stock market. They will take commission from you instead of helping you.

You can get Brokers online or offline.

What is the advantage in share market?

Share market plays an important role in helping many companies to raise capital for expansion and growth. Through IPO, companies issue shares to the public and in return receive money to be used for various purposes. The company gets listed on the stock exchange after the IPO and this also gives an opportunity to the common man to invest in the company. With the help of this, the company’s advertising also becomes and it comes in the eyes of the people.

Any common man can be a trader or investor in the stock market. Traders hold shares for a short period of time whereas investors hold shares for a longer period.

When there is profit in the share market, there is a huge profit, so the share market can change the fate of any ordinary person.

How to make profit on share market?

There are 3 ways profit can be made in the share market.

  1. When the company performs well in the market and the company has a profit, then according to the percentage of your share, you also give a share of the profits.
  2. The longer you hold shares in a company, the more likely you are to get profits. Holding shares for a long time will never hurt you.
  3. Sometimes it happens that by giving a company double or more money, the share holders buy back their own shares. At such a time if your share will be in that company then you will have a high profit.

What is the difference between Trading and Investment in Share Market?

However, money has to be invested in both trading and investment. But there is a difference of meaning between the two.

When you invest money in a company for a short period of time, it is called trading. Traders invest money in a company for a specified period of time to generate a churn of money in a short amount of time.

And when you invest money in a company for a long time, it is called investment. An investor invests his money in a good developing company for a long period of time and waits for the share price to become predictable.

FAQ

  1. What is meant by stock market?

    Where many companies sell their shares or stocks and investors and traders buy shares, that place is called stock market.

  2. Which is the largest stock market in the world?

    Newwork Stock Exchange is the largest stock exchange in the world

  3. What is Demat Account?

    Demat account is different from an ordinary bank account where process like Share Bonds, Mutual Funds, ETF etc. is done.

  4. What is Bull Market and Bear Market in Share Market?

    Where the share price is always increasing, it is called Bull Market and where the share is always decreasing is called Bear Market.

  5. Which company has the highest share price in India?

    The share price of MRF company is highest in India which is around Rs 80,000 per share.

Conclusion

In the end, you are advised that if you want to invest in the stock market, then the property should be done only after understanding all the things because there is a risk of loss in it as much as profit.

Everyone wants to make money from the stock market, but this does not happen with everyone, in this you have to face a lot of losses, due to lack of knowledge and experience, if you also want to invest in the stock market then you are absolutely right. is in place, basically in this blog you will be told how you can invest in the stock market and what can be its benefits, what can be the loss etc. With which you will be able to take a right decision whether you should enter the stock market or not.

What is Share Market 

A market where shares are publicly issued and traded is known as share market. Share market and stock market are largely similar but the difference between the two is that only shares are traded through share market whereas stock market consists of various financial instruments like bonds, mutual funds, derivatives as well as some listed companies. Can trade shares of

Types of Share Market 

There are following two types of share markets in India

  • Primary Share Markets
  • Secondary Share Markets

Primary Share Markets

Primary Share Market is one such place. Where a company first registers with the goal of raising funds and issues a certain amount of shares

In the Primary Stock Exchange, any company is publicly listed with the goal of raising money. If a company sells its shares for the first time, it is called Initial Public Offering ie IPO.

Secondary Market

Once new securities of a company are sold in the primary market, they are traded in the secondary market. In the secondary market, investors get opportunities to exit their investments and sell their shares.

A new investor in the secondary market buys shares from another investor at the market price prevailing at that time. Shares are bought either at the market price prevailing at that time or at such a price in which both the seller and the buyer are agreed.

Usually investors do this transaction with the help of a broker or any such intermediaries. that facilitate the process

Benefits of Share Market 

The following are the advantages of investing in the share market –

  • On investment made in share market, you get more return than bank FD, savings accounts
  • When you buy a share of a company, you become a shareholder of that company. You also get a part of the profits of the company
  • There is no lock-in period for investment made in the share market i.e. you can buy or sell your shares whenever you want.
  • Share market is regulated by SEBI. Who takes care of your security and protects you from fraud
  • In this you get a good return on your money. Which saves your money from inflation and keeps their value from decreasing

Disadvantages of share market 

Following are the disadvantages of investing in the share market

  • There are ups and downs in the stock market. Which has an effect on your investment and can also result in loss at times.
  • If investment in share market is not done properly then it can be risky.
  • There is no guarantee of getting fixed returns on your investment in the share market. You are likely to get more and sometimes less returns

How to Invest in Share Market 

You cannot buy or sell shares directly in the share market. To do this, you have to either take the help of such brokers who are authorized to trade in the market. You can use brokerage companies that allow you to trade using their platform

This process takes place in the following steps.

To start investing, you need to open a trading account through a broker or stock brokerage platforms. A trading account is where you actually place trades or buy or sell orders.

Broker or stock brokerage platform opens a demat account for you. Who stores or holds your financial securities in your name

After this both your trading account and demat account are linked to your bank account. To open a Trading or Demat account, you have to provide KYC documents like – Aadhar card, PAN card etc.

Most brokers or brokerage platforms provide the facility of online KYC process in today’s time. Where you can submit your verifications details online sitting at home and open your account in no time

After both the accounts are opened, you can do trading through online or offline through your broker or brokerage platform.

Required Documents for Investing in Share Market

You need the following documents to invest in share market

1 – Your PAN Card
2 – Your Aadhar Card
3 – Your name on a canceled check of your active bank account
4 – Your residence proof
5 – Your income proof
6 – Your passport-size photograph

Investment Process in Share Market

In Primary Share Market

Individuals who wish to invest in the primary share market can invest in it through IPO. To invest in this, a demat account, in which electronic copies of your shares are kept and a trading account is required to apply online.

Many times you can also apply through your bank account. Shares are allotted to applicants based on the market response to the IPO.

In Secondary Share Market

Secondary market is also commonly known as stock market. This is the market where the process of buying and selling of stocks among investors takes place.

The process of investing in this takes place in the following steps.

To invest in the secondary market, you need a demat and trading account. Which is linked with your bank account

After this you have to log in to your trading account. After that you choose which shares you want to buy or sell

To buy shares, you should have at least the amount of money in your account. If you want to sell shares then make sure that you have as many shares in your account as you want to sell

After that you can decide the price. On which you want to buy or sell shares. After that you have to wait for the buyer or seller to respond to the request made by you.

After this you complete your share market transaction by transferring money or shares. In return you will receive shares or money.

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