How does the stock market work?
The Indian National Stock Exchange (NSE) also known as the Indian stock market is incorporated in the year 1992 for the purpose of bringing transparency in Indian equity share market. A team of five people (K Kumar, Raghavan Puthran, Ravi Narain, Chitra Sankaran, and Ashish Kumar Chauhan) including Dr. R H Patil and SS Nadkarni who were instructed by IDBI in 1992, created the blueprint for NSE at the request of the Government of India in accordance with the recommendations made by the Pherwani committee in 1991.
Indian National Stock Exchange (NSE) is biggest stock exchange in the India. And also one of the biggest stock exchange in the world which the main headquarter is located in Mumbai. It called Bombay stock exchange (BSE) earlier which was established on July 9, 1875and then was changed the name to NSC.
Top myths about the Indian National Stock Exchange
1. Investing in the stock market is risky:
It is true that stock market investment carries some risk. The stock market is a dynamic and complicated system that is subject to price changes in stocks and unpredictable circumstances that may have an influence on the value of assets. However, the good approach and right knowledge about the fluctuations in the change of value of shares can help you to get the good return on investment.
It is not at all risky when you have the right knowledge.
2. Investing in the stock market is only for the professionals:
It is not true that investing in the stock market is only for the professionals. But anybody can invest in the stock exchange.
Most of the people really think that investing is only for the professional people, but the truth is... no, anybody can invest in the stock market and can get good results in the returns on the investment.
3. Investment is like gambling:
Investment is really does like gambling but, not actually. While investing the stock market, there is always some amount of risk associated with the investment. But with the right decision and guidance you can have good returns.
4. Investment requires a lot of money:
Investing in the stock market is not really require a lot of money. But in return of money everything it needs is good choice of stocks and guidance, to get great returns on the investment.
Most of the people really think that while investing in the stock market it requires more money. And if you want more return, then more money is needed. It is not actually, you can invest with the small amount of money. There are many stocks with low price.
So, this is a biggest myth exist in the mind of many people.
5. Investment need experience:
Investment does not require any experience, but the truth is all it needs is certain level of knowledge and research on the stocks in which you want to invest in.
A right research need to analyses, reports, returns and the performance in the back.
Thank you for reading
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