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Saturday 21 November 2015

Investing in Stocks, Why should we do it?

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Investing in stocks (stock market/share market). Perceptions of people to invest in share market will be as, " We get Payout in short term", "It is risk, we get only loss but no profit", "Volatile place of money making", ..blah blah blah. Among all these perceptions which conclusion is true about stock market? To understand the hidden question of our brains " why should we do investing in stocks? " we shall go briefly into a small story which is out of my personal life experience.

Pull your socks to use brains for few minutes to understand the exact good part of stock market. Initially we shall take few amount i.e, it my be 30000 bucks, we shall divide the total amount in to 4 parts of equal value of 10000 each. We shall invest these 4 parts in 4 different places likely..

1. Place 10000 in a safety locker in your home
2. Fixed Deposit in bank 
3. Invest 10000 in Stock market with good strategies
Stock Market
Investing In Stock Market


Place 10000 Bucks in a safety locker in your home 

                                                                                                              and check your safety locker, exactly after one week open the locker and see your amount, nothing shocking for you to see, because you can see only 10K which you have placed one week back. There will not be any extra returns by saving in your locker.

Fixed Deposit in Bank

one of the best part in investing the 10K in a bank is it will return us some   which we deposit in one of the banks will give some interest over your investment but it is very less, i.e, <10% per annum, it means very less in a month and if you consider for a week it is very negligible we can consider it to be as equal to zero. 

 Invest 10000 in Stock market with good strategies

By investing your 10K in a stock market and by applying ethical and good strategies of investment in stock market and the by healthy way of operating your money will give you a returns of about 800 to 1000 bucks in a week, it means 3200 to 4000 bucks and much more than these bucks in a month, means which of any bank or any financial institutions don't/can't return you such profits in such a short span. 




Investment Gains

One of the essential advantages of investing into the stock market system is the opportunity to develop your cash. After some time, money markets tends to ascend in quality, however the costs of individual stocks rise and fall every day. Interests in stable organizations that can grow tend to make benefits for speculators. In like manner, putting resources into various stocks will fabricate your riches by utilizing development in diverse segments of the economy, bringing about a benefit regardless of the fact that some of your individual stocks lose esteem.

Dividend Income

A few stocks give wage as a profit. While not all stocks offer profits, those that do convey yearly instalments to financial specialists. These instalments arrive regardless of the possibility that the stock has lost esteem and speak to salary on top of any benefits that originate from in the end offering the stock. Profit salary can finance a retirement or pay for significantly all the more contributing as you develop your speculation portfolio after some time.

Diversification

For investor who do their investment into distinctive sorts of venture items, a stock market speculation has the advantage of giving broadening. Stock Market ventures change esteem autonomously of different sorts of speculations, for example, bonds and land. Holding stock can offer you some assistance with weathering misfortunes to other speculation items. Stock adds danger to a portfolio, and in addition the potential for vast, fast picks up, offering financial specialists some assistance with avoiding danger opposed or excessively preservationist venture procedures.

Ownership

Purchasing shares of stock means tackling a proprietorship stake in the organization you buy stock in. This implies putting resources into money markets additionally brings advantages that are a piece of being one of an entrepreneurs'. Shareholders vote on corporate board individuals and certain business choices. They additionally get yearly reports to take in more about the organization. Owning stock in the organization you work for can be an approach to express dependability and attach your own accounts to the achievement of the business all in all.
NASDAQ
NASDAQ - STOCK MARKET


Few More Benefits Of Investing In Stock Market / Share Market

Easy Liquidity

It is the first advantages of investing in stock market, In stock exchange shares and securities are exchanged high volume which make it an unstable market so there is simple liquidity in stock market, as on the off chance that you need to transform your interest in stock market into money then you can do that effortlessly.

Flexibility

Putting investment in stock market is exceptionally adaptable like the business sector have high points and low points in costs at each exchange session, cost of securities exchange moves with the speed and adaptability of this business sector.

Regulatory Framework

Stock Market works under some administrative structure to ensure and protect every one of it's financial specialists. For instance: In India the Investments, Securities and Exchange Board of Indie (SEBI) fills in as a Regulatory Framework Body to shield all financial specialists.

Maximum Returns

As indicated by the long haul point of view it is found that Investing in Stock Market gives most extreme returns. For instance: 1 Lakh Bucks put resources into securities exchange in the year 1992 (when SENSEX was 2020 Bucks) is currently close around 9 Lakh 50 Thousand Bucks(today SENSEX is appx 26000 bucks)

Business Taste

All things considered, According to me it is the best advantages of putting resources into stock market you can ever have, here from Business Taste I imply that when a man exchanges or put resources into stock market everything arrives works like a business a cutting edge style business.

Sole Proprietorship

On the off chance that you investing in a stock market then you are beginning your own particular business where your venture is your capital, similar to the more your exchange is in benefit the more your business develops and you are the main individual to maintain this business that is the reason putting resources into stock exchange is your sole proprietorships business.

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