Stock Market Investing Guide for Beginner
Investing in stocks will be a good way to earn passive income. But as a beginner its some difficult to know about stock market. This article will guide you steps by steps how to be a good investor. Here we cover some topics – understanding the stock market, choose right broker, create demat account , different type of investment, creating stock portfolio, Managing risk and becoming a investor
Understanding the Stock Market
Start investing in stocks, but before you start investing in stock you need to know about the stock market. Stock market is a platform where investors can invest in all companies who are listed. But you can’t invest directly here , you need to create a demat account for buy & sell stock in the stock market. Before Create a demat account 1st you need to choose Stock broker, through broker you can create demat account.
The most important step to start investing in the stock market is to create a demat account with a broker. We have a list of all brokers in India you can check our website www.demataccount.co.in . Here you can choose which broker will charge low brokerage , account maintenance, account opening charge. You need to compare and choose a broker. Then open a demat account.
Create Demat account
After choosing a broker, the next step is to open a demat account. You can open a demat account online and also offline. For offline use, you need to go to a physical branch near your location. But online you can create a demat account at home. Nowadays it’s very easy to create a demat account online. Still if you have any doubt our team will help you to create a demat account . After creating a demat account you need to choose where you will invest.
Different type of investments
You can see in the stock market there are different types of investment available, like Equity, F&O Commodities And Mutual funds. You need to decide where you need to invest . There are different types of brokerage charges for different segments. Like Zerodha will not charge on equity, but if you go for F&O zerodha charge 20/- per order executed. Like this you can check different brokers also take different charges , Groww, Upstox, Angel one, Motilal Oswal, HDFC Security, ICICI Direct, 5Paisa etc.
Creating a stock portfolio
Creating a good stock portfolio is very difficult for beginners. So to make a good stock portfolio you need to invest in different stocks and industries to minimize your risk. Then only you can build your good portfolio. But if you directly go for future & options then you have to learn 1st because in future & option more volatility you can see in intraday. So without learning about the stock market don’t go for future & options. Apart from all these you can invest in mutual funds where low risk with you can make your portfolio. It’s up to you how you can build your portfolio.
You are a beginner or a professional in the stock market no matter because this step is important for all. Without risk management you can’t make a good portfolio in the stock market. You have to follow risk management to invest in any company or future & options. In risk management 1step you need to learn how to execute Stop loss. Stop loss is most important to save your loss, save your capital. Sometimes you have emotions as a beginner if stock value goes down and you will receive a loss on your portfolio, at that time if you execute Stop loss you will exit automatically when price hits stop loss. you can go for long term so you can take low risk.
In summary, Investing in the stock market is easy but not as easy as you think . It’s a good way to earn passive income but before investing in the stock market you have to learn basic stock markets. Then you take professional advice. Choose the right broker, choose the right stock , make your own strategy, manage risk, be patient and you will be a good investor.
You can start investing in the stock market with a small amount , it can be 100 or more depending on which stock you want to buy.
It depends on you, if you have time and investment knowledge then you can invest in individual stocks, where you face risk but receive high returns. If you don’t have time to analyse and knowledge where you need to invest you can go for a mutual fund. Or you can invest both.
It depends on you and stocks performance. Some investor hold stocks for years and some investor buy and sell quickly
There are many great resources available in India to learn about stock market, like financial news websites, investment books and courses, and offline classes.
Learn about stock market Free Ebook – Click here
Yes it is possible to make money in the stock market, but it requires knowledge and discipline.