The stock market was started about 420 years ago by the Dutch India Company, which is known today as Netherlands Antilles. If the map was not made at that time, the company used to search for new countries to sell its goods and it used to be very long in the way of water. For which the company needed a lot of money and at that time no one person had that much money. So the company told the common people that they should put their money in their ships and when the ships return after being towed, the company will give them profits in return. But at that time this work was very risky. Because the ships on the journey either sink or they get lost, they were robbed by these pirates. And the investor had lost in that, then the investor thought that it is better to put all the money in one ship and put that money in other ships. So that if one of their ships does not come back, then they can earn money from the other ships, and on seeing this formula became famous. And this did not make the company scarcity of money and people would also get a chance to earn more money.
SHARE MARKET, STOCK MARKET
When you start a new business and you do not have much money to start it, then you tell your friends and relatives your business. And tell them that if they spend half the money in your business, then you will make them 50% share in the business. This is the market where you can become a shareholder of any company by purchasing the shares of any company and if the company makes a profit then you will also get profit in it. And if the company has a loss, then that too will be yours because in a way that company belongs to you. In the stock market, you can become a shareholder of any company in your country by buying shares and you can also sell shares freely whenever you want.
STOCK EXCHANGE
This is the place where people buy and sell company shares, there is only one building in every country from where this work is done, there are two markets in its, primary and secondary.
PRIMARY: If you are the owner of a company, then you cannot go to the house of people to sell the shares of the company. the primary market is where the company sells its shares. Here the company cannot reduce or exceed the price of its share, they have to sell the stock at a confirmed price. Hereafter selling the shares once, the company has nothing to do with that share.
SECONDARY: Whenever you have to buy a company thing, you go to the shop to buy it and not to buy the owner of that company. Similarly, the company sells its shares in the stock market, then after that people buy those shares from the market. the secondary market is where people buy and sell shares from each other. It does not matter to the company that people are selling their shares in the work or it is up to the traders at what price they are selling the shares. Because after selling shares in the primary market, the job of the company is to increase the growth of its business.
Difference between Investing and Trading
People think that Investing and Trading are the same but both of them are different. Investing is what you do once, meaning you buy the shares that you want to keep with you for a long time. It does not matter whether the price of your share is low or high today and the risk in this is also less. And when you buy and sell stocks daily, it is called trading. When the market falls below, people get scared and sell shares, they buy stock traders. And when the market goes up, the traders sell it at a good price. For trading, traders have to watch the news and updates of the market seriously every day, it is full-time work.
Really share market is a gamble
Whenever we take the name of the share market in front of our friends and relatives, they say that it is a gamble, they should stay away from it and it is mostly in India.
Yes, the share market is gambling which is absolutely legal, it is gambling for those people who buy shares of any company. Without knowing what type of company is that and how is the performance of that company, its financial records are recorded and do not see the history of the account. So it's kind of like gambling.
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