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Showing posts with the label #ShareMarket

Long Term Vs. Short Term Investments! Ravi's Grandfather MRF Shares Story! Is Long Term Investing Better? (#7)

SHARE MARKET  is a place where people come to buy & sell shares OR exchange securities at different rates on different times. While in the constant trading of stocks the only main changes which tend to occur in this process is just in the value of the stocks (whether it increases or decreases) & time (like many investors do invest for a long time & tend to make "LONG TERM INVESTMENTS" or "SHORT TERM INVESTMENTS") however when it comes to Long Term Investments, they are the same stocks which keep on changing their values like normal ones, So now our basic knowledge states that sell the share immediately after it makes some profit. So basically selling your stock after earning some profit & noticing that it won't make a profit now cause the stock value may decrease, than the people who sell it quickly which isn't a bad thing, have made a "SHORT TERM INVESTMENT" but the people who do not sell their stock even after noticing the ups &am

The 2 Types Of Markets In Equity Market? Primary Market Vs. Secondary Market! Know All About The 2 Markets! (#6)

  The   2 Types Of Markets! We know that their are 2 types Of Markets In Stock Market: Primary Market Secondary Market Difference Between The 2 Markets! When ever a company issues it's shares for the first time (IPO) then who ever buys those shares, then they can say that they have bought it directly from the company. Hence, this is known as  Primary Market.  In other words, where ever a person buys a share in which the company itself is also involved; like if I bought a share from an IPO or when a company have issued new shares, which means I have bought the shares from the company itself than it is known as "Primary Market". & whenever a company have sold all of it's shares (& maybe if there are not any more shares in the market issued by a company, yet) & if we want to buy the shares of that particular company than we'll buy it from a person who've bought it from somewhere else or the company itself. So where ever the stocks/shares are being exc

What Is Intraday & Delivery In Investing? Which One Is Better? (#5)

    While purchasing a share of any company through DP's we come across 2 options which are: Intraday  &  Delivery ! So let's find out, what they really mean! Intraday! Whenever we purchase a share in Intraday then we have to sell this stock the same day. For example if I bought it today when the market opened then I have to sell it by today itself & in case I won't then it'll automatically be sold while the market will be closing. Intraday is often called  Trading . Delivery! Whenever we purchase a share in Delivery then we can't sell it just the day bought but any other day/time. Which means if I bought a stock in delivery today then I'll be unable to sell it today but I can sell it any other day even after 10 years. & if I sell it today then it'll be known as Intraday & the commission of the Depository Participants (DP's) will be provided to them as per Intraday not Delivery. Delivery is often called  Investing . Depository Participant

Who Decides The Price/Value Of Shares In Share Market? (#4)

  During the Market Hours the price of stocks keeps on fluctuating. However when the market is closed the prices of shares remains still! Have you ever wondered that how or what keeps the values of shares to change constantly OR what are the factors affecting the share price. Let's Find Out Who Decides The Price/Value Of Shares! There are some factors that effects & hence result in the change of the share price. Let's understand what are those factors & how do they affect the share prices! Demand & Supply Rule! Whenever something is in great demand & its supply is less in comparison to demand. So the price rises but whenever the supply is more & nobody at all is willing to buy it than its price will decrease! In Share Market, a share price rises. & The people owning it may sell it in order to claim profit. Now if almost all the people owning the share sold it then it's price will eventually decrease because no body at all is demanding it instead they

What Is A DRHP/RHP (DRAFT RED HERRING PROSPECTUS/RED HERRING PROSPECTUS)? All You Need To Know About DRHP/RHP In Simple Words? (#3)

  What Is A DRHP/RHP? Full Form Of DRHP/RHP! A  DRHP ( DRHP stand for Draft Red Herring Prospectus)/RHP ( RHP stands for Red Herring Prospectus)  is a document a company makes in order to raise it's  IPO (Initial Public Offering). RHP  is basically the  Wealth Of Information  regarding the company. To raise an IPO, a company is supposed to submit a RHP to  The Regulator Of The Capital Market. A DRHP/RHP is a document report with 500 pages containing important details of the upcoming issue & other details of the company (like - past financial report, further plans & where the capital raised is supposed to be used, etc.) & important details of the owner itself ( like - what's the education of the owner? , etc.) & The Regulator Of The Capital Market will cross examine the details. Check the information &'ll decide whether this company should be approved or not! The main motive of the "regulator of the capital market" is to keep a close check on th

What Is Share Market? All About Stock/Share Market! [Explained In Easy Words] (#2)

Share Market gives a chance to even the most simple people to earn some profit without working at all. It's just their money who works for them. Many people are attracted towards Share Market because, it gives high returns which have made many people millionaires in the past. & at the same time many people are fearful of its downfalls which have made people loose millions, in the past. Everyday hundreds & thousands of people enter Stock Market & start their investing journey. Today I just want to be clear with everything about Share Market in this blog. Here, you'll "Know All About Share Market From An Investor's Point Of View". The below mentioned topics are what we'll cover today within this blog! & you can jump to a specific part of this blog from this section by clicking on that particular topic you'll like to read, first! So today we'll know about: 1.  What Is Share Market? What Does The