WHAT IS SHARE MARKET?

Hello !!! Have you ever went to the market which is near to your place. Many time you must have been to the market to buy some stuff, vegetables, eatables and for many other to do things. you must have observed there that vendors sell their goods and gain some profit. But , you must have observed that the quantity they have is limited. On reverse stockist who stocks all things or we can call it as wholesaler who keeps many goods stocked at his store. The quantity he posses is huge compare to retail vendor. So, in all there are categories of wholesaler, retailer, customer who buy good from them. Same logic applies to stock market.

So, in short share market is place to buy and sell number of share and gain some profits. So, share market also has an categories like any other normal market. Like wholesaler we know him as fii or dii , retailer like you and me. Who keeps on buying and selling shares of companies listed in exchange and due to this buying selling market or stocks get momentum. Stock market is categorised in different segments like equity, future and option. In India we have 2 major exchanges to trade in equity are called nse which is national stock exchange and bse Bombay stock exchange. Many companies list their ipo to exchange to raise funds for their future projects as well as for many other reasons. once they get through ipo that particular companies stock get listed to exchange so we can trade in to it or can look it for investment purpose.

Future and option is tool provided to us for hedging or for trading purpose. Also stock markets have different segments where we can invest or trade. As we have seen nse and bse trade in equity, f & o likewise in India we have cds and mcx exchanges. These are the exchanges to trade in currency or in commodity. Cds takes care of currency trading and mcx trades in commodities. In currency we can trade usd, euro, jpy, pound only with Indian rupee. Inter currency trading is not allowed in Indian exchange. And in commodities we trade in crude oil, gold, silver and many more commodities. Every exchange has its rules and regulations . they have different timings.

So, this was little informative blog regarding stock markets in India.to understand it in better way feel free to visit us or call us at ems share market institute.