What Is Stock Market | How to make money from stock market

What Is Stock Market :

Stock market or share market is a place where people invest their money so that they can get good returns on their investment. So in today’s post you are going to get very important information related to the stock market. In this you will know what is stock market, what is stock market, how to earn money from stock market, and how you can start your journey in stock market, as well as we will give you all other information related to stock market. Will also give

Actually, stock market or share market is not a new word for people, people have heard a lot about stock market, and they also know a little bit about it.

But there is a general opinion among the people about the stock market, that it is a speculative market, where rich people invest their money, and people believe that there is no place for a common man in the stock market. Nor can he earn money from the stock market.

Many such thoughts related to the stock market arise in the mind of the people, which is not completely true, and one of the major reasons for this is the lack of information among the people about the stock market. So this is the purpose of writing this post, to increase your knowledge related to stock market, so that you also start investing in stock market and can make good money from there.

What are stocks or shares? What Is A Stock

Before knowing about the stock or share market, it is important for you to understand, what are shares or stocks after all? Simply put, share means share, that is, a part of the ownership of a company is called share, the more shares you have in the company, the more you will be owned. The investors who buy the shares of the company are called shareholders.

In other words, when an investor buys shares of a company, he becomes a participant in the profit and loss of that company, then shares or stocks are a means of taking a stake in a company. Let us now know, What is Stock Market in Hindi

What is stock market?

Stock market, also called share market or equity market, is a market where shares or stocks are bought and sold. Various companies list their shares in the stock market, which are available to the general public. The main purpose of listing of shares by the company is to raise funds, so that the company can expand or start new projects with the funds raised.

After which the general public buys those shares listed by the company and invests some of its money in that company in a way, that is, takes some percentage stake in the company. Then if the company makes profit, then the price of the company’s shares also increases, and at the same time, the company also gives dividend to its investors on profit.

The public who have bought the shares of that company also automatically get profit according to the percentage of the shares purchased by them. Then, if the public wants to sell their purchased shares at a higher price, they take out the profit, or if they think that the price of the share will increase further, then they keep it by holding it. Similarly, if the company goes into loss, then the share price goes down, and the shareholder also has to face the loss.

So the stock market is a place or platform to buy and sell shares, where the share price keeps rising and falling every moment, and therefore those people who invest in the stock market often keep an eye on the stock market, So that they can withdraw their profit when the share price rises or falls.

Why does the company issue its shares? Why Companies Issue Shares

When a company needs a large amount of funds for its expansion, to start a new project or to eliminate the company’s debt, then that company issues its shares to the general public. , so that the public buys those shares and in return the company gets the funds as per its requirement.

The general public i.e. investors who buy shares of the company, they get partial ownership in the company, after which they become entitled to both profit and loss to the company. If the company wants, it can also meet its fund requirement by taking a loan from the bank, but in lieu of the loan, the company also has to pay a large amount of interest on the loan, so the company considers it right to enter the stock market.

When a company has to offer its shares to the public for the first time, it has to pass through the primary market, for which the company brings its IPO among the public. In the IPO brought by the company, the company sets a minimum and maximum limit for buying shares.

After this, when the Initial Offering of Shares (IPO) is completed, that is, all the Stocks or Shares are sold, and the primary market is closed, then the business of selling or trading those shares purchased is Secondary Market. Happens in The public buys and sells those shares through the secondary market i.e. Stock Market or Stock Exchange (BSE/NSE).

How to invest money in stock market How To Invest In Stock Market

After knowing what is the stock market, let us now tell you, how you can invest money in the stock market. To invest money in the stock market, you must have a Demat Account, Trading Account and you have a Savings Account in the bank.

The work of demat account is to hold your shares or stocks in digital format with you, it works just like your bank account, whatever money you want to invest in the share market, or earn from the share market, that Everything first comes into your demat account, only then you buy shares with that money, or transfer that money to your savings account, and the savings account remains linked with your demat account.

Trading account is used to buy and sell shares, shares which are floated by different companies in the stock market, those shares are bought or sold through trading account itself. The trading account provides an interface to the user, through which he/she is able to trade shares in the stock market, and the trading account is linked to your demat account. Along with this, you also need your PAN card, Aadhar card and 2 passport size photographs.

Now when it comes to where to open your Demat and Trading account, there are 2 ways.

What Is Stock Market
What Is Stock Market

Full information of stock market

First way

Let us tell you that nowadays demat and trading accounts can be opened in almost all banks, but while opening a new savings account, the bank itself also asks you for demat account opening.

On opening a demat and trading account by the bank, you have to pay the annual maintenance charge of the demat account, which can vary from Rs 350 to 500 depending on the bank, for example, if you open a demat account in SBI, So you have to pay Rs 350 as annual maintenance.

second way

Another way is to open your demat account through a right broker company and start your journey in the share market from there. If I talk about myself, I personally use Groww App, because it provides a great investment platform, which is also quite User Friendly.

If you are stepping into Mutual Fund or Share Market for the first time, and want to earn money from here, then it is important that you get a User Friendly Platform where you can easily understand things, and for this I Personally, I consider Groww App better than other platforms.

To download the Groww App, you click on the link given below, after which you will be driven to the Play Store and then install the App from there and create your account in it. If you are opening this link on a computer, you will be taken to the Groww App website from where you can register yourself.

Download Groww App

In Groww app, neither you have to pay Deemat Account opening charge, nor do you have to pay any kind of maintenance charge.

How To Earn Money From Stock Market

If you talk about can you make money from the stock market? So the answer is yes, of course you can make a lot of money from the stock market. But to earn money from the stock market, you have to bring discipline within yourself, have patience and also do market research.

Follow the following rules to earn money from the stock market, otherwise you may have to face loss.

It is very important to do research before investing in the stock market, because new investors often invest in any stock without preparation in a hurry to earn money, which causes their loss. Therefore, it is important that before investing, understand the working of the stock market, as well as try to collect information from various sources about the stock you want to invest in. If you have an experienced investor in your knowledge, then take advice from them as well, that is, do not invest money like this in the share market without overall research, because in such a situation, the possibility of profit and loss is high.

Start small

If you are new to share market, and are investing for the first time, then start your investment with less money, you can also start with 100 rupees if you want. Invest for a short period instead of a long period, so that you can get an idea of ​​the ups and downs of the stock market at an early stage. Often people invest their entire deposits in the stock market in the pursuit of increased returns, which is a wrong way, so you have to avoid doing so.

Invest with a view to the future

In whichever company you want to invest money in the stock market, make sure to estimate the future of that company. For example, if you are going to invest in a company for a long period, whose business model is out of date, or it will go out of trend in the coming few years, then your money can be lost in such company. That is why it is important that looking at the future, they should invest in the sector in which growth is going to happen.

Invest in different sectors

Instead of investing all your money in one sector, invest that money in different sectors so that if there is a loss in one sector, it can be made up by other stocks, and this also balances your portfolio. Invest in stocks from all the sectors in your portfolio in which you see potential for growth.

Buy shares when there is a fall

The stock market does not always remain the same, that is, it keeps going up and down, so you should try that whenever the market goes down, then at that time you have to invest in good stocks, that is, which are Fundamentally Strong Shares, You have to buy them at cheap prices, so that you can make profit from them when the market goes up.

stay updated

To make good money from the stock market, it is important that you keep yourself updated. You should know what is going on in the stock market, which stocks can rise and fall, and you should also be aware of the stocks that you have placed in your portfolio, what is going on in them, etc. is important. You can keep yourself updated by getting this information through news, internet and various other platforms.

Avoid boxing

Do not invest in any stock in boxing without research and knowledge, it can cause your loss. Actually, many new investors invest in any stock on the basis of luck without doing research in the stock market, after which they have to face loss, so avoid ruckus in terms of investment and invest only after careful analysis.

Avoid rumors

Share market is the area where rumors spread is common, you should ignore any such rumor and take any decision after looking at fundamentals and doing technical analysis. In fact, many investors invest money on the wrong stock due to false rumors, or if a share has been bought, then sell it immediately after coming in the rumor, then always avoid doing this, but only after doing a thorough investigation by yourself. make a decision.

Avoid greed

Whatever be the sector, greed only causes loss in the end, in the same way, greed also causes loss in the stock market. Actually, many times when we get benefit in an investment, then due to the greed of more profit, we invest more money in it, which in the end results in us as a loss, because like we told share market always does not remain the same.

Control your emotions

Taking decisions based on emotions can make a loss in the stock market, even if the market is going up, you do not have to take any decision by being attracted, but focus on the fundamentals, and take a decision only after doing a complete analysis. Volatility is common in the market, the price of a stock is up today, it may be down tomorrow, so if you take emotional decisions, then it is a wrong approach.


We believe about investing in the stock market, that every person who wants to earn money from the stock market, they should first increase their knowledge about it, investing money in the stock market in a hurry can make a loss. If you invest patiently and thoughtfully in the stock market, then you can make good money.

In this post you read what is stock market, you also got information about how to earn money by investing in it. We hope that you have found this given information informative. If you have any question or suggestion related to this post, then do let us know by commenting below.

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