What is the Stock Market ? Is it Risky or Easy ?

The stock market is a platform where people & companies are buy or sell stocks. When you buy a share you own a small piece of that company directly or  indirectly. In India BSE, NSE, MCX stock exchange where shares of companies like Reliance, Tata, and Infosys are buy and sell. It provides a platform for companies to raise capital and for investors to trade shares.

Stock Market
Stock Market

🧠 How Does s Stock Market Work ?

  • A company wants to raise money from market, it offers shares to the public through an IPO (Initial Public Offering).
  • Once listed, these shares are traded daily on stock exchanges like NSE, BSE or MCX.
  • You and I can buy or sell shares using a Demat and trading account through apps like Zerodha, Groww or Upstox etc.
  • In India many discount broker platforms are available.

⚠️ How Risky is the Stock Market for Beginners ?

Stock market is highly be risky for beginners, but with the right knowledge and a smart approach the risk can be managed. Beginners often jump into the market without learning the basics. Firstly you should gain knowledge about Stock market basic, like what is stocks, how to analyse stocks performance, technical data, company balance sheet and also some important terms about stock market.

✅ How to manage Risky in the Stock Market for new investor ?

  • Learn & invest later
  • Build confidence before risking more
  • Invest long-term reduces short-term market noise
  • Avoid tips & rumours don’t follow the crowd blindly
  • Diversify invest in different companies/sectors
  • Don’t put all money in one stock
  • Learn about  fundamental and technical analysis

✅ Top 10 Major Stock Markets in the World

RankStock ExchangeCountryMarket Capitalization
 1New York Stock Exchange (NYSE)USA$25+ trillion
 2NASDAQUSA$20+ trillion
 3Shanghai Stock Exchange (SSE)China$7+ trillion
 4EuronextEurope$6+ trillion
 5Japan Exchange Group (JPX)Japan$5+ trillion
 6Hong Kong Stock Exchange (HKEX)Hong Kong$4+ trillion
 7Shenzhen Stock Exchange (SZSE)China$3+ trillion
 8London Stock Exchange (LSE)UK$3+ trillion
 9Saudi Stock Exchange (Tadawul)Saudi Arabia$2.5+ trillion
 10National Stock Exchange (NSE) of IndiaIndia$3.5+ trillion

📚 History of the Indian Stock Market

The Indian market has a rich and fascinating history that dates back to the 19th century. India’s journey has been remarkable.

Trading in India started in the 1850s, when a group of brokers gathered under a banyan tree near Mumbai’s Town Hall to buy and sell some ingredients.

The first company shares traded were of East India Company. Trading was based on trust, and there were no formal rules.

1875 –         Bombay Stock Exchange (BSE) is Asia’s first stock exchange.

1986 –         Sensex launch

1992 –         Government created SEBI (Securities and Exchange Board of India) to regulate markets.

1994 –         National Stock Exchange (NSE) was launched with fully computerized trading.

2000s to till – Online trading platforms made investing easy for everyone.

More Indians started investing through mutual funds and SIPs.

🧮 Total Number of Indices (Approximate)

NSE  100+ (as per NSE India)

BSE   90+ (as per BSE India)

Turnover of Indian Stock Market

🔹 NSE (National Stock Exchange)

₹90,000 crore to ₹1,10,000 crore per day approx..

🔹 BSE (Bombay Stock Exchange)

₹5,000 crore to ₹7,000 crore per day

NSE has much higher trading volume and turnover compared to BSE

🔹 MCX (Multi Commodity Exchange)

₹30,000 crore to ₹60,000 crore depending on commodity prices and volume

🔍 Real-Life Example :

Assume you are a apple farmer and you believe apple price will rise in summer session. You buy 10 quintal and store for next session. If the price goes up in summer then your investment increases. If it drops, you might lose money. That’s how the stock market works. It has risks, but also rewards.

🎯 Conclusion

The stock market isn’t just for experts. With a little learning anyone can start investing. Just make sure you do research and think long-term. Stock market is not gamble its about research and knowledge.

For more information about stock market utkal360.com

Stock Market Diclaimer
Stock Market Diclaimer

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