Stock Market

Learn How To Start Investment in Stock Market?

Always consult a stock market broker. In order to avoid any mistakes in your investment decisions, you should always consult a professional to plan out your investments and to get qualified investment advice.

HOW TO START?

1)  In order to buy / sell a share, you need to first become a client of one of the stock market members who are commonly known as stock brokers.

2) Open Demat A/c

3) Open Trading A/c

MARKET MECHANISM

1)  A stock market has many members who co ordinate for various activities in the process of placing orders, their execution and settlement etc. A person who desires to buy / sell shares in the stock market, can place his order through the broker either in the traditional manner or can place an online order himself through the terminal provided by the broker.

2) Two trading days are considered for settlement where Saturday, Sunday, Bank Holidays and trading holidays are not considered as working days for settlement. Hence, a trade done on Monday will get settled on Wednesday. 

DO AND DON’TS

1)   Always consult a professional. In order to avoid any mistakes in your investment decisions, you should always consult a professional to plan out your investments and to get qualified investment advice.

2) Keep yourself updated with latest market news If you are investing in equity, it is advised that you keep yourself updated about the latest market news as there are a lot of announcements that take place from day to day such as mergers, acquisition, dividends, Annual Meetings etc. This helps you to get a clue as to what is the effect of such news on your investments and what is the expected return from your investment. 

3)  Don’t put blind faith in a stock tip from unofficial sources it is important to do some homework on the investment that you are planning to make. Don't just believe everything that is said about any stock tip from your friends or near n dear ones. If you come across any such tips, you should first verify it for its authenticity and then take your investment decision. 

4)  Don’t put all your money in one sector or stock In equity investment, there are shares available for companies that cover almost every sector of the commercial sphere and thus provide you the opportunity to invest into a wide variety of sectors. Every sector or stock is affected by some or the other factors of the economy and as a result of it affect your investment in these stocks / sector.