Stock Market Investment: 5 important things

        In the previous article, we focused on Benefits of Investing in Share Market and also discussed about Myths and Facts about Share Market. In this article we know about Stock Market Investment 5 important things you must know before.

So once you have made up your mind to trade in the stock market and decide to do so, then the question arises. But friends, in this article we will learn about what to avoid before starting and what precautions to take after starting.

Operator/Tips provider calls

As soon as you open your demat account to start trading in the stock market in general, you start getting many phone calls. Some say we will give free tips while some say we will manage your portfolio for free. You need to be careful of such people. It is not uncommon for you to make a profit by taking tips from such an agency. So you should politely decline such incoming calls.

Our attitude about Share Market Return

Some people have information about the market from here and there and such information is believed with closed eyes. You can become a millionaire or a millionaire from the market overnight. Some people make thousands, millions of rupees a day by trading every day. Some people make so much money by trading that they quit their jobs with a lot of packages. Are coming. 

If you have such things in your ice, first of all you should take a little pause and think whether it is really possible? And if possible, do you have that much knowledge and skill today? However, friends should come into the market without getting entangled in such a dream and without being too ambitious, keeping in mind the real situation and expecting an annual return of 15 to 24 per cent. This approach will help you succeed in the market.

Dependecy on Friends and others

They come to the market with the sole purpose of making money by getting information about the stock market through various means. They are not ready to make progress with new knowledge. Some people tell a friend or acquaintance who is already in the market that I give so much capital. You take that percentage of the profits invested in the market and give the rest to me. 

This means that the person is ready to do any work on his own. If you are thinking of doing something like this, we request you not to get involved in this transaction. Because we never make progress by relying on others. Even if you see some success in the beginning, it will not last forever. We are completely in the dark about the exact strategy of the person who is investing his money in the market. So in the end, it is your loss. So we should not take such a step by mistake.

Myths About Returns in Share Market

Looking through various social media, we hear that some people bought a share for Rs 1, 10 years ago and today the same share is priced at Rs 1000. Then the new investors coming in the market look for such low priced shares and invest their money without any analysis. They blame the market when the amount invested over time does not stay even half.
When you want to take such shares, you must first do a thorough Fundamental Analysis of the company concerned. The company should be invested only after a detailed study of whether it is really growing. Such shares are called Penny shares in the market. New investors need to be wary of such shares.

Purchasing of any kind of Software

Many agencies or individuals create different software to attract new investors. It is said that when you advertise your software, you will get automatic buy and sell signals. But new investors do not know the basics of how these signals are generated. So not knowing the logic behind it can lead to wrong entry or exit. The alternative is likely to cause financial loss. Therefore, in order to get all the basic knowledge without buying such software in the beginning, one should focus on studying hard.

So friends, in this article we have learned about Stock Market Investment 5 important things you must know before and also what you should take care of before entering the stock market and what you should avoid after getting started. We will learn more about what else should be avoided in the stock market as we learn about different topics.