We all know about the shares and stock market somehow. Thus it is better to know the basics of it before start investing.
What is Stock Market?
Stock exchange is an organization which provide platform to several companies for issuing the general offering of the shares to the public. These shares are the smallest part of the capital of any organization. With the help of exchanges an investor can buy or sell the shares on the basis of the current as well as past financial performance of the corporate and big ventures. This way the fall and rise of the vale decide the gain and loss of the particular share holder. This is the overall functionality of the share market.
What is the need of Stock Market?
This place is an important source for the organizations to raise funds when there is any requirement like that. An initial public offering help the ventures to generate money without paying any interest just like they have to do in case of loan amount. Also, it increases the trust of common people on the industry and help in the better performance for the profit.
Who can invest in it?
Any common person having a banking account in the authorized bank and having enough money to start trading. This is another thing that knowledge is necessary to achieve success but it can be gained from several sources.
Who can help the investors?
One cannot directly start trading, there is the need of an intermediary which can bring together the buyer, seller and the shares providing company. This role is played by the Broking Company. They are having brokers who guide the investors to do business in a smooth way.
As this field is getting so much popularity among the people and the losses of the many traders give arise a new service which is the recommendation by the financial experts. It can be understand through a simple example. Brokers are just like an educational institute and financial advisories are just like the coaching institute. To get a degree it is mandatory to have admission in the institute but for extra knowledge and success students also refer coaching.
One can get profit without the help of advisory firm but from above example it is clear that you cannot deny their importance in the success. Thus, taking the services of a reliable advisory and make your life better with their stock trading tips.