Introduction to Stock market
Stock Market, unlike its conventional portrayal, isn't just about stocks and gambling. It has much more to it. I strongly believe that it can and will pave way for financial freedom of an individual if one knows how to handle it.
India's history with stock market started in 1875 when Bombay Stock Exchange was founded. It is believed to be one of the oldest organized stock exchanges in Asia. Since then various Exchanges have come up and gone and currently two exchanges stand as the lasting winners with both having their own competitive edge- the BSE and the NSE. With about 5k companies listed in the exchanges, the current market cap of Indian stock market is cumulatively pegged at 218 trillion INR.
To put stock market in simple terms, lets consider the below analogy.
When you intend to buy vegetables or fruits you go to a market place and buy it, same way the seller when he intends to sell, will come to a market place for finding suitable buyers to sell their products to suitable buyers who bid them their expected price. In this case, as a buyer you are constantly on the outlook of buying the most fresh and best quality vegetables at the same time looking for the best deal to buy them at reasonable price.
Stock market is no different from the above example, where buyers are constantly on the outlook for buying stocks at the perceived best value and like wise sellers are constantly on the outlook for selling their stocks at perceived best value.
In the days ahead, I will share more about the market and how it enticed me to enter and how I am going with the flow to grow along the market.
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