Indian stock market timings
You often heard the word STOCK MARKET. Today, believe me there will be no query remaining in your mind about the Stock Market after reading this blog.
What is a stock market?
Stock market is a place where an investor buys and sells shares of different companies listed in the stock market ( NSE and BSE). Nowadays you need to open a demat account for investing in the stock market. You can open your demat account using different platforms like groww, zerodha and upstox etc. The Indian stock market opens at 9:15 am and closes at 3:30 pm. Every week on Saturday and Sunday will be a holiday in the Indian Stock exchange.
How to invest money for beginners?
Well different types of investment can be done in the share market. You can invest your money in equity shares, mutual funds, intraday trading, future and option trading, ETF etc. Let's understand one by one how these will work for your investment. One thing to keep in mind is never invest your money by taking loans. Only invest the money that you need after a long time.
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Equity shares
This is the most easy and simple method to invest your money in the stock market in different companies. Most of the beginners start investing the money in equity shares. Equity shares mean buy some portion of a company that is listed for public in the stock market. Now, the question may arise in your mind, why do these companies sell their shares and take money from us? Well its answer is simple: a company sells their shares to become larger and hold a good market capital. Once a company grows your investment will also grow. After investing your money in the equity market you should always remember that a long term investor can make money in the equity market. Even Warren Buffet the god of stock market says buying and selling the stocks cannot make you rich, a long turn investor can make money from the stock market.
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Mutual fund
Mutual fund is a fund house where a mutual fund operator takes your money and invests in different stocks by checking their financials. Mutual funds works Same as the equity market but with a little change. In this, you don't need to choose different companies and stocks by reading their financials. A mutual fund is less risky than the equity market. But a major change in mutual funds is that you cannot take your money back in short terms, as fund houses take charge for it. But in the equity market you can buy and sell the shares during working hours of the stock market.
Intraday trading
First of all I will make it clear that it is more risky than equity shares and mutual funds. In some cases you often hear that he or she makes a lot of money using intraday trading. For understanding intraday trading let's take an example. Let us suppose that you know today this stock will grow more than usual and you wish to buy a lot of shares of that stock but you have very less money. In this case intraday will help you by reducing the stock price five times less than its real price. But this will help you only for a single day. It means before the stock market closes you have to sell your share even in profit or loss. As there is a time barrier, chances of loss become more.
Futures and option trading
This is more dangerous than all of the above. As it is very risky, the chance of making money becomes higher. In this you have to predict the future of the stock whether its graph goes upward or downward and according to this you have to bet your money. More about the future and options, you must research your own how it works. The data of future and option released by SEBI says 90% of the traders lose their money in future and option trading.
Conclusion
Investing the money in the market is not bad but greediness from the market is very bad. A long term investor can make money easily but a person who comes for a short term may lose their money. That's why before investing you should research and make sure the money you are investing is not needed for a long time like 5 to 10 years.
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Mutual fund is best for long term
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