The information of stock market is
available in media but normal people fail to understand the implication. Unless
you are conversant, about the operating method of stock market and proficient
enough to invest in stocks to generate wealth, it is advisable not to
experiment in the stock market. Howsoever efficient you may be in operating in
the stock market; the element of risk is always there due to the
unpredictability of the market and the forces that determine the movement of
stocks.
Since we do not know much about stocks and stock market, it is necessary to gain adequate knowledge about them. Knowledge about certain things before entering to the stock market, is necessary.
- What is a stock?
- What is a stock market?
- Why do we need a stock market?
- Where does the stock come from?
- Why do people buy and sell stock?
In general, parlance stock is the capital raised by a company/corporation through the floating of shares to public entitling holders to an ownership interest. In due course as the company forges ahead in the path of growth with increasing profitability, the value of the shares increase due to the improved dividend checks. This increase in value creates a demand for the stock of the particular company in the stock market generating money for the owner of the shares/stocks. This is a great means to increase your money.
Stock market is a place anywhere the public and institutions trade in stocks. Earlier, trading in stocks could be done in the stock exchange in a specified time period during the day. But with the start of technology and Internet, online trading in stocks is the norm today.
Stock market is a place with information for traders. In a stock market, trading is regulated within the framework of certain rules and regulations, as an unregulated market will spell disaster for all including traders, investors and shareholders. The regulatory framework of all stock markets is the cornerstone of its success.
There are thousands of companies registered with the stock exchange with millions of shares owned by the public. The public for a predetermined value to raise capital for the company buys these shares. Once the companies succeed in their venture, the value of the shares/stocks increase creating a demand for them in the stock market, resulting in it being traded. Once trading in a particular stock commences, its value is determined in the stock market keeping in view its demand and supply, company profile, prospects of dividend, etc. At times cost of particular stocks zoom up due to speculative trading and on the turn around prices may fall for lack of demand.
For building wealth people buy and sell stocks. Usually people buy an individual stock when the price is low, hold it for a certain period, and release the same as soon as the price rises to level where it generates good profit for the owner. The holding period is determined by certain factors like price movement, amount of profit the owner desires, etc. Operating in stock markets is a uncertain proposition because your full investment may be wiped out, but smart operators do gain by factoring proper research and evaluation, and timing their deal.With the growth of technology common people can access to stocks through internet.
Since we do not know much about stocks and stock market, it is necessary to gain adequate knowledge about them. Knowledge about certain things before entering to the stock market, is necessary.
- What is a stock?
- What is a stock market?
- Why do we need a stock market?
- Where does the stock come from?
- Why do people buy and sell stock?
In general, parlance stock is the capital raised by a company/corporation through the floating of shares to public entitling holders to an ownership interest. In due course as the company forges ahead in the path of growth with increasing profitability, the value of the shares increase due to the improved dividend checks. This increase in value creates a demand for the stock of the particular company in the stock market generating money for the owner of the shares/stocks. This is a great means to increase your money.
Stock market is a place anywhere the public and institutions trade in stocks. Earlier, trading in stocks could be done in the stock exchange in a specified time period during the day. But with the start of technology and Internet, online trading in stocks is the norm today.
Stock market is a place with information for traders. In a stock market, trading is regulated within the framework of certain rules and regulations, as an unregulated market will spell disaster for all including traders, investors and shareholders. The regulatory framework of all stock markets is the cornerstone of its success.
There are thousands of companies registered with the stock exchange with millions of shares owned by the public. The public for a predetermined value to raise capital for the company buys these shares. Once the companies succeed in their venture, the value of the shares/stocks increase creating a demand for them in the stock market, resulting in it being traded. Once trading in a particular stock commences, its value is determined in the stock market keeping in view its demand and supply, company profile, prospects of dividend, etc. At times cost of particular stocks zoom up due to speculative trading and on the turn around prices may fall for lack of demand.
For building wealth people buy and sell stocks. Usually people buy an individual stock when the price is low, hold it for a certain period, and release the same as soon as the price rises to level where it generates good profit for the owner. The holding period is determined by certain factors like price movement, amount of profit the owner desires, etc. Operating in stock markets is a uncertain proposition because your full investment may be wiped out, but smart operators do gain by factoring proper research and evaluation, and timing their deal.With the growth of technology common people can access to stocks through internet.
More links:
Subscribe in a reader
