Details about

Stock Market

Stock Market established in 1875 by cotton merchant Premchand Roychand, a Jain businessman. It is the oldest stock exchange in Asia and also the tenth oldest in the world.

The Bombay Stock Exchange has been in existence since 1875. The National Stock Exchange, on the other hand, was founded in 1992 and started trading in 1994. However, both exchanges follow the same trading mechanism, trading hours and settlement process. The is the 8th largest stock exchange with an overall market capitalisation in the world till January 2022.

When a company / Firm needs more funding for expansion, the promoters (Owners) of the company list their company on stock exchange to sell their shares. Once the company is listed/registered on Share Market, anyone can buy and sell share. Buying and selling are called ‘Trading’ in this market. You need to open a Demat account for trading.

It is also a platform of buyers and sellers where they trade shares in publicly for listed companies. Stock markets are essential components of a free-market economy because they offer democratized access to investor for trading and capital exchange. Stock markets promote effective price discovery and trading.

Note: First, learn how to trade on demo till you get confidence in yourself and then you can start trading. Don’t start trading with real money.