Quick Info For What is share market and how to invest money

What is Share Market and how to invest money? What is an IPO? What is a Demat account? what is SEBI? And what is the Sensex Nifty?

If you have a company, and you want to grow it, then obviously it will require money, now if you take a loan from the bank, then you will have to pay interest but if you put your company in the stock market You will not have to pay any interest. (What is share market and how to invest money)


Whenever a company starts in the stock market for the first time, it is said, IPO ( initial public offering ), if you need ₹ 40 lakh, then you will list 4000 shares, according to one thousand rupees people buy your shares and you will get ₹ 40 lakh which you can invest in your business.

For this, you have to first go to SEBI ( Securities and Exchange Board of India ) which monitors all companies, you have to submit a document named Red Herring Prospectus (RHP) to the Savvy, after that SEBI will verify it. then it Will decide whether to approve your company or not.
If you get approval then you have to go to the stock exchange, the stock exchange is an intermediate that connects the company and the public. There are two stock exchanges in India. BSE ( Bombay Stock Exchange) and NSE (National Stock Exchange).

Sensex and Nifty

Looking at the SENSEX, you can find out whether the BAE market today is up or down, as compared to yesterday, the average of the stock of 30 companies in BSE is taken which we called SENSEX.
Similarly, NSE has a nifty, which is made up of National Plus 50, in NSE an average of 50 companies shares is what we called Nifty.
The share price of any company is based on its demand and supply rules, if the demand is high then the price of the stock will increase and if the supply is high, no one is buying the stock, then the price of that company's share is reduced. if the company goes to profit, then the share price increases and if the company goes into loss then the share price decreases, then investing in the stock market can be risky. , It is an alternate that you can put into mutual fund money.

What is Demat Account and complete information about investing in the stock market

To buy or sell shares in the stock market, it is necessary to have a savings account and then a Demat account and a trading account.
Whenever you buy or sell any shares, it is saved in digital format in the Demat account.
Which proves that you have shares in that company.
Trading account will be traded on your stock exchange, you have to trade to sell on the stock exchange, so you will have to link all three accounts.
Whenever you buy a share, the money will start appearing in your Demat account in digital format through trading by withdrawing money from your savings account, and when you sell the shares, the money will come from the trading account to your savings account and than Demat account Shares will decrease.

I hope this (Quick Info For What is share market and how to invest money) post will be useful for you. Please give your valuable feedback.

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