HOW TO INVEST IN STOCKS: BEGINNER’S GUIDE

HOW TO INVEST IN STOCKS: BEGINNER’S GUIDE

In order to begin trading, you will require Demat and trading account, both available with leading stockbrokers like
Angel One A Demat account will act as the common repository that allows you to
store the shares you have purchased, whereas a trading account will facilitate the actual buying and selling
activities.

Here is some basic information you should know before you can start trading successfully in the Indian share market:

The process of trading

When you buy a share using your trading account, money is transferred out of your bank account, and the share is transferred into your Demat account
When you sell a share, it is transferred out of your Demat account into the share
market. The money resulting from the transaction will be made available in your bank account.

How to learn stock trading?

Choosing an online trading account

To begin trading in the stock market, an investor needs to register for a trading account and a Demat account, which needs to be linked to the investor’s bank account for online money transfer. This is an essential step if you want to learn stock trading. This will familiarise you to the interface and give you access to the trading tools as well as research which can only be accessed by the clients of any stockbroking company. Know more about how to open a Demat account and a trading account.

Before you open both the accounts, it is essential to check the credibility and the credentials of the broking
firm. Moreover, the trading account should allow you to make online investments in mutual funds, equity shares,
IPOs, and also in Futures and Options. Lastly, it should have secure interface and protocols such that all your
transactions are safe and secure all the time.

Educate yourself

It is important that you know trading terms like buy, sell, IPO, portfolio, quotes, spread, volume, yield, index,
sector, volatility, etc. before you place your first order in the stock market. Read financial websites or join
investment courses to gain a better understanding of the stock market jargon and related news.

Practice with an online stock simulator

Using an online stock simulator is a good idea to practice your skills at zero risk. By playing virtual stock market
games, you can increase your knowledge on investing strategies. Most of the online virtual stock market games are
synchronized with market indices and stock values, thus giving you a real experience of trading in stocks using
virtual money. This helps in understanding the working of the stock market, without having to lose on stocks.

Choose the Low-Risk High-Reward trading method

There are always ups and downs in the stock market. Beginners often do more damage to their share trading account by
expecting higher returns with high risks. As risk is unavoidable in online share trading, low-risk high-reward
trading methods ensure that rewards are gained while risks are controlled.

Make a plan

As the old adage goes, fail to plan and you plan to fail. Those who are serious about being successful, including
traders, need to have a strategy in place for investment and trading in the stock market. It is of utmost
importance to make right investment decisions through your trading strategies. Decide the amount you want to invest
and the time limit for which you want to hold the investments. Accordingly, you can schedule your orders to buy and
sell, depending on the cash limits and exposure set by you as per the planned strategy.

Find a mentor

Every successful investor has had a mentor at some point in their investment journey. When you are new to the
investment world and have just started learning stock trading, it is essential to find a person who has a fair
experience in this field and can guide you through your journey. Your mentor can help you create a learning path,
recommend courses and study material, as well as keep you motivated through the ups and downs of the market.

Online/In-person courses

There is a wide range of online and in-person courses available if a beginner wants to learn trading. These courses
cover topics for investors/individuals at all stages of their stockbroking journey. You can also opt for the
short-term stockbroking courses by NSE India.

Share market basics

As an Indian investor, the two share markets that you can trade in are:

National Stock Exchange (NSE)
Bombay Stock Exchange (BSE)

The two depositories with which all depository participants are registered are:

National Securities Depository Ltd (NSDL)
Central Depository Service Ltd (CDSL).

Two methods of trading

Trading is one of the methods of how to invest money in the share market. It can be defined as active form of buying and selling of securities with an intention to make profit.

Two types of trading:

In intraday trading or day trading, you must square off all positions before the market closes. For intraday trading, you may avail the use of margins, which is the funding provided by the broker to increase your exposure in the stock market. It allows you to purchase/sell additional number of stocks, which would otherwise require you to invest greater amount of funds.

Delivery trading involves buying the stocks and holding them for more than one day, thus taking their delivery. It
does not involve the use of margins, and hence you must possess the funds for your share market investments. It is
a more secure method of investing in the Indian share market.

Bull market

A bull market is a market condition where there is a general trend of growth throughout the market. This is
characterised by a widespread optimism among the investors and a general confidence that the prices will keep
rising.

A substantial rise in the stock prices is seen during the bull market. A substantial decline in the stock prices
(typically 20%) is also observed before and after this period.

Between the period from April 2003 to January 2008, a major bull market trend was observed for about five years in
Bombay Stock Exchange Index (BSE SENSEX) as it increased from 2,900 points to 21,000 points.

Bear market

A bear market is a market condition where there is a general trend of decline throughout the market. This is
characterised by a widespread pessimism and increased selling activity where the investors anticipate a decline in
stock prices.

A substantial fall in the stock prices is seen during the bull market. Typically, if a decline of about 20% from
the peak is observed over a span of several months, it is said that the market has entered the bear period.

Long positions & short positions

An investor is said to have long positions if he/she has bought the shares and owns them. On the other hand, if an
investor owes these stocks to some other entity but does not own them, he/she is said to have short positions.

For example, if an investor has bought 500 shares of Company X, then he/she is said to be 500 shares long. This
takes into consideration that the investor has paid the full amount for these shares. However, if the investor
shares 500 shares of Company X without actually owning them, he/she is said to be 500 shares short. This often
happens when an investor borrows shares into his margin account from the brokerage firm in order to make the
delivery. This investor now owes 500 shares and must purchase these shares in the market to make a delivery at
settlement

Electronic trading & floor trading

The process of purchasing shares was very long and tedious before electronic trading had emerged.

Investor calls the broker to place an order
The broker calls the order clerk who then relays the order to a floor broker
The floor broker executes the order and transmits it to the order clerk who then forwards it to the broker
Finally, the broker gives you a confirmation along with the fill of your order
With the emergence of electronic trading, the entire process of purchasing a share can be executed within a few
seconds as opposed to the longer couple minutes’ time required with the traditional floor or pit trading method.
Along with saving the time, the investor also has to pay a much lower brokerage cost when buying shares from an
electronic platform.

Clearly, the emergence of an electronic trading platform has led to steep decline in the number of floor brokers.

Auction market & dealer market

An auction market is where the prices are dependent upon the lowest price a seller is willing to accept for their
product/security and the highest price a buyer is willing to pay for that product/security. The sellers post
competitive offers and the buyers post competitive bids. The matching bids and offers are connected and the
transaction is made.

Example: There are 3 sellers willing to sell the shares of Company X at Rs. 1200, Rs. 1250, and Rs. 1300. At the
same time, there are 3 buyers willing to buy the shares of Company X at Rs. 1400, Rs. 1350, and Rs. 1300. Thus,
only the order of the buyer number 3 and seller number 3 will be able to get executed since they have both agreed
upon the same buying and selling price.

A dealer market, on the other hand, is where the dealers post their selling and buying price. The dealers in such a
market are designated as the “market makers”. They display their prices electronically, thus making the process
transparent.

Example: Dealer A owns some stocks of Company X that he is planning off-load. Price quoted by other dealers is
1300/1400. However, the dealer A posts a price of 1250/1350. Here, investors willing to buy the shares of Company X
will purchase it from dealer A since it is Rs. 50 cheaper than the price marked by other dealers.

How much you should invest

How much financial risk you can tolerate should determine how much you should invest. Your investments should not
endanger your savings. It is also important to diversify your portfolio and utilize features such as stop loss to
minimize losses.

What should you base your decisions on?

Financial analysis:

Financial analysis is used to make inferences about future share prices and
Overall health of a company using company reports and non-financial information, such as industry comparisons and
estimates of demand for growth of the company’s products. It is important to ask questions such as “What
advantage does this firm have over other firms?” or “Does it have a sizeable market share?”

Technical analysis:

Technical analysis involves the use of a two-dimensional chart to map the
historical movement of prices. It uses historical values of share prices and volume charts to make predictions
about future prices.

Using both types of analysis will allow you to make sound decisions.

Know your rights

Before entering into a contract with a broker, ensure that it is registered with SEBI and that its credentials
support its claims. Ensure that you receive a ‘Statement of Accounts’ for funds and securities settled every
quarter and documented proofs of all deposits that you make.

Frequently Asked Questions

What are the best stocks to buy for beginners?

Here are a few stock types that are good options for beginners.

Well-established blue-chip stocks will give a good return on your investment with attractive dividends. Typically, these companies have a long history of profit.
Another safe bet is stocks of large companies. These stocks don’t get affected by minor market volatility.
Choose companies that are generating profit. It means they can handle a market drawdown better. Publicly traded companies periodically publish their financial statement from which you can get an idea about their profitability.
Exchange-traded funds or ETFs are also good choices. These funds are tied to market indexes and go up or down with the benchmark index.

As a beginner, steer clear of the following stocks

Penny stocks
Cyclical stocks

Before investing, research the market and check a beginner’s guide to the stock market.

Stock market guide for beginners

If you’ve been following our guide, it’s safe to assume you would now be aware of the workings of the stock market. But just knowing how it works isn’t enough to invest in the stock market. You need to be aware of multiple techniques, features, do’s and don’ts of the stock market as well. Here, we will delve deeper into the concept of stock markets and its workings. We will discuss what a stock is, how to make money from investing in stocks, how to invest in stocks and the Do's and Don'ts of share trading.

Key Points

· Stocks are primarily of two types: common and preferred.

· An issue of bonus or extra shares to the stockholders is referred to as bonus issue.

· Don’t wait for the perfect time to enter into the stock market, as there is no perfect time. Start as early as possible.

What is Stock?

When you buy stock of a company in the stock market, you become a part owner in the company and you have a certain level of claim over part of its assets and earnings.

Stocks are primarily of two types: common and preferred.

· Common stocks: When you own common stock of a company, you gain the right to vote at the shareholder’s meeting and to receive dividends.

· Preferred stocks: In case of preferred stocks you don’t have the voting right, but you will have a higher claim on assets and earnings than the common stocks.

Stocks are also referred to as “shares” or “equity."

How do I actually make money from investing in stocks?

When you trade in a stock market the prices of the stock changes, as the stock prices are dependent on the perceived value of the stock i.e. company. So when you see the stock price of a company rise, it indicates someone, or many investors, are placing buy orders for that stock. However, there are many market forces at play that impact the movement of a stock. This is just one of the ways in which you make money investing in stocks. The percentage increase in the stock price after you bought it will reflect the same percentage of increase in your capital invested and vice-versa.

What is bonus issue and dividend issue?

Another way in which you can make money through the stock market is when the company in which you bought stocks, issues bonus shares or dividends.

An issue of bonus shares to the stockholders is referred to as bonus issue. A bonus issue is usually based upon the number of shares that shareholders already own. A stock dividend is a dividend payment made in the form of additional shares rather than payment in cash.

How to invest in stocks

The steps you should follow before you invest in the stock market are:

· Get a PAN card: A PAN card is must for you for any financial transaction in India. PAN is required for opening a bank account, investing in the stock market and mutual funds, filing Income Tax returns etc.

· Get a broker: You are not allowed to go directly to a stock exchange and trade in the stock market. Get yourself a stock broker.

· Open a demat and a trading account: You are allowed to trade in the stock market only through demat and trading accounts. You must have an active demat and a trading account before you can invest in the Indian stock markets.

· Trading: Now you can start trading in the stock market by just being in contact with your broker and give buy and sell orders.

While these steps are essential before you start investing in the stock market, they aren’t enough in themselves. You’d do well to have proper knowledge of investing as well. Remember the do’s and don’ts of trading in the stock market.

Do's and Don'ts for share trading:

Do’s:

· Start by virtual stock market investing app on mobile or try out a stock investing desktop application before trying the stock market. These virtual apps are useful for practice before making an actual stock market investment.

· You should invest ample amount of time for doing research on the stock you want to buy. Buy shares when they are at a lower price and try to understand the stock pattern.

· Even if you have a small amount of money, start investing early as you can take good advantage of compounding from an early stage.

· Diversify your investment. Investing in various sectors lowers your chances of loss.

· Invest most of your money in the blue chip companies. They give you low returns but lowers your risk of loss.

· Keep yourself up to date with the latest news of the company you are invested in.

Don’ts:

· Don’t wait for the perfect time to enter into the stock market, as there is no perfect time. Start as early as possible.

· Don’t get carried away with the speculations, initial profits and buzz.

· The trading fees should be less than 2%. Otherwise, it can eat up your profit.

· Don’t invest more than your capacity and always set a budget for investing.

· Don’t be greedy, try to figure out the right time to sell your stock.

· Don’t get carried away and invest all your money in a particular stock. You may face a huge loss.

Wrapping Up

· You should strictly follow the do’s and don’ts, to invest efficiently in the stock market.

· After going through this article, you would have gotten a proper idea of the workings of the stock market.

· Try to start as early as possible. Read books, learn to invest, learn how to do proper research and then you are all ready to invest.

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Share market investment tips

While the terms are used interchangeably, the share market should not be confused with stock market. In a stock market, besides shares, other securities like mutual funds, bonds and other derivative contracts can be traded as well. When someone becomes a shareholder, they earn a part of the profits made by the company in the form of dividends. If the company suffers a loss, the investor too suffers a loss.

Key Points

· In a stock market, besides shares, other securities like mutual funds, bonds and other derivative contracts can be traded as well.

· You cannot directly approach the share market for buying/selling shares, therefore you need a broker for this task.

· Always be disciplined. There will be times when you will panic, but be patient, because success does not have to be rapid.

Guide for investing in the share market

If you are a beginner and you wish to invest in shares, you first need to study them thoroughly and carefully. One must follow some basic steps to begin investing:

· Open a trading and a demat account. You cannot be dealing in shares without having these.

· You cannot directly approach the share market for buying/selling shares, therefore you need a broker for this task. Choose the right broker and deal only with the one who is registered with SEBI. To make the process more simplified, it will be better to get an online broker through authentic sites like Upstox. 🙂

· The next most important task is researching and deciding on which shares to buy.

· After deciding you can inform your broker and they will perform the trading on your behalf. Or, you can do it yourself using the online trading platforms that your broker provides.

Buying and selling occurs through two exchanges (in India) - the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). You will need to choose one through which you will buy/sell. In case you are not sure about certain aspects, your broker should be available to help you out.

Tips for investing in the Share Market

Some tips can be of help while investing in shares; in case you are a beginner. The regular investors too should keep these points in mind while trading. These tips can always prove to be helpful whenever you get involved in the share market.

Getting started

· Always ensure that you possess all the documents required and fill all the forms carefully to avoid any future hassle.

· Try to choose the right broker and always give clear instructions to your broker while performing a trade.

· Make your own decisions. Perform your own research and avoid listening to anyone and everyone.

· Try not to pick highly fluctuating shares, except of course if you are highly experienced and are aware what you are doing. More often than not, people think that they can gain a lot too fast and instead they end up losing a fortune.

Investing

· Always try to diversify your investments. A company that is rising might not always keep that position. Hence, invest in different places so that if you end up losing in one, there is always a backup.

· Always be disciplined. There will be times when you will panic, but be patient, because success does not have to be rapid.

· Pick a strategy and stick with it. Planning is the key to right investment. You need to plan your investment- how, when, why etc. Changing your strategy mid-way can leave you frustrated and disheartened. You can always conduct trial and error investments with small amounts that you can afford to lose.

· While planning, follow a long term approach. Short term investments are occasionally risky. Following a long term approach might not give you results immediately, but they are more likely to keep away unexpected losses. This also helps in increasing your understanding of the market and helps you make better and profitable decisions in the future.

· Never ever let your emotions (greed and fear) dictate your investments.

· At the onset, set out the money you can invest keeping in mind that you might lose all of it. This will help you in managing your funds more carefully and wisely.

Wrapping Up

· When someone becomes a shareholder, they earn a part of the company’s profits in the form of dividends.

· In India, buying and selling of shares occurs through two exchanges - the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).

· Remember to research well in advance to prior to placing your first trade and diversify your investments.

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Share market investment tips

Key Points

· In a stock market, besides shares, other securities like mutual funds, bonds and other derivative contracts can be traded as well.

· You cannot directly approach the share market for buying/selling shares, therefore you need a broker for this task.

· Always be disciplined. There will be times when you will panic, but be patient, because success does not have to be rapid.

Guide for investing in the share market

If you are a beginner and you wish to invest in shares, you first need to study them thoroughly and carefully. One must follow some basic steps to begin investing:

· Open a trading and a demat account. You cannot be dealing in shares without having these.

· The next most important task is researching and deciding on which shares to buy.

· After deciding you can inform your broker and they will perform the trading on your behalf. Or, you can do it yourself using the online trading platforms that your broker provides.

Tips for investing in the Share Market

Getting started

· Always ensure that you possess all the documents required and fill all the forms carefully to avoid any future hassle.

· Try to choose the right broker and always give clear instructions to your broker while performing a trade.

· Make your own decisions. Perform your own research and avoid listening to anyone and everyone.

Investing

· Always be disciplined. There will be times when you will panic, but be patient, because success does not have to be rapid.

· Never ever let your emotions (greed and fear) dictate your investments.

· At the onset, set out the money you can invest keeping in mind that you might lose all of it. This will help you in managing your funds more carefully and wisely.

Wrapping Up

· When someone becomes a shareholder, they earn a part of the company’s profits in the form of dividends.

· In India, buying and selling of shares occurs through two exchanges - the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).

· Remember to research well in advance to prior to placing your first trade and diversify your investments.

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How does the stock market work?

The ‘Stock Market’ is probably one of the most commonly thrown around terms when discussing investments. This shouldn’t be surprising, since the stock market tends to give very competitive returns when compared to other investments, a fact proven over the years by statistics. Plus, no one can deny the fact that the stock market is one of the most important factors in a country’s economy. People like Warren Buffett, Peter Lynch and Charlie Munger have shown the world how stock market returns can be highly profitable.

So, how does the stock market work? In this article we will delve into its intricacies. You will learn what the stock markets is, how the stock exchange works for beginners and the steps to invest in the Indian stock market.

Key Points

· The stock market or the stock exchange is a market where you can buy stocks, commodities and bonds.

· When the owners of a business want to raise money for their company, they issue their shares in the stock market.

· When you place a buy order for a share, your stockbroker passes on your order to the stock market. Once seller and buyer are fixed, the exchange takes place.

What is a Stock Market?

The stock market or the stock exchange is a place where you can buy stocks, commodities, and bonds. It does not hold any shares of its own, instead acts as a platform where investors can buy stocks from the stock sellers. Think of it like a telephone exchange equivalent - instead of connecting a caller and a receiver, it connects buyers and sellers.

A stock market is one of the most important parts of a free-market economy. It is the place where a company can offer you a slice of its ownership in exchange for capital you invest in its stocks. You can purchase stocks of those companies that are listed on the stock exchange.

What is the purpose of a Stock Exchange?

When the owners of a business want to raise money for their company, they issue their shares in the stock market. The stock market allows you to buy shares of a company, and the capital you invest is used by the owners of the company for different purposes - such as growth, maintenance, R&D or even debt settlement. Without the stock market, these owners would have to find large individual investors for their company. Let’s face it, there are only a few Tatas, Ambanis and Warren Buffetts in this world. They won’t be enough for all the companies who wish to grow in their business. Who will invest in these companies? And how? That’s why modern times require a central place where you can purchase and sell stocks of companies that you want to invest in.

How does the Stock Exchange work?

The stock market works mainly in two sections: the primary market and the secondary market. The primary market is where the company issues shares by way of IPOs (Initial public offerings) a process by which the company raises capital. Institutional investors buy these shares from investment banks and the price of the share, once it goes public, is determined by the amount of shares being issued. The secondary market is where you buy shares of the company. It is the secondary market in which we do all of our trading in the stock market. In the secondary market, you as well as institutional investors can buy stocks of a company from the stock market.

When you place a buy order for a share, your stockbroker passes on your order to the stock market. Once seller and buyer are fixed, the exchange takes place. In today’s times, all your orders are executed electronically, which takes just a few minutes. When you trade in a stock market, the prices of the shares change as the share prices are dependent on the perceived value. It’s ultimately a classic case of demand and supply and its impacts. So, when you see the stock price of a company rise, it means someone or many investors are placing a buy order for that stock and shares of that particular company are in demand.

How to invest in the Indian stock market?

Here are some easy steps which you can follow to invest in the Indian stock market:

· Get a PAN card
A PAN card is essential for any financial transaction in India. PAN is required for opening a bank account, investing in the stock market and mutual funds, filing Income Tax returns etc.

· Get a broker
As an individual trader, you are not allowed to go directly to a stock exchange and trade in the stock market. You need to do this via a registered stock broker.

· Open a demat and a trading account
You’ll need a demat account to store the securities you buy. You’ll also need a trading account before you can trade in the Indian stock market.

· Trade
With your demat & trading accounts in place, you can now start trading in the stock market. Just contact your broker or access their online trading platforms to place buy and sell orders.

Wrapping Up

· Before investing in the share market, try some books to invest efficiently and understand the stock market correctly such as “The Intelligent Investor” by Benjamin Graham and “A Random Walk Down Wall Street” by Burton Malkiel. You will get a detailed idea about the workings of the stock market.

· Once you are done understanding the stock market, you can go select your broker, and open your demat and trading accounts.

· With those accounts set up, start trading!

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Share market investment tips

Key Points

· In a stock market, besides shares, other securities like mutual funds, bonds and other derivative contracts can be traded as well.

· You cannot directly approach the share market for buying/selling shares, therefore you need a broker for this task.

· Always be disciplined. There will be times when you will panic, but be patient, because success does not have to be rapid.

Guide for investing in the share market

If you are a beginner and you wish to invest in shares, you first need to study them thoroughly and carefully. One must follow some basic steps to begin investing:

· Open a trading and a demat account. You cannot be dealing in shares without having these.

· The next most important task is researching and deciding on which shares to buy.

· After deciding you can inform your broker and they will perform the trading on your behalf. Or, you can do it yourself using the online trading platforms that your broker provides.

Tips for investing in the Share Market

Getting started

· Always ensure that you possess all the documents required and fill all the forms carefully to avoid any future hassle.

· Try to choose the right broker and always give clear instructions to your broker while performing a trade.

· Make your own decisions. Perform your own research and avoid listening to anyone and everyone.

Investing

· Always be disciplined. There will be times when you will panic, but be patient, because success does not have to be rapid.

· Never ever let your emotions (greed and fear) dictate your investments.

· At the onset, set out the money you can invest keeping in mind that you might lose all of it. This will help you in managing your funds more carefully and wisely.

Wrapping Up

· When someone becomes a shareholder, they earn a part of the company’s profits in the form of dividends.

· In India, buying and selling of shares occurs through two exchanges - the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).

· Remember to research well in advance to prior to placing your first trade and diversify your investments.

Switch to the new Upstox

To search, select and shortlist from 5000+ stocks, easily - with Smartlists and Smart Filters

Enter your mobile number to get started

Top of Form

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Bottom of Form

How does the stock market work?

Key Points

· The stock market or the stock exchange is a market where you can buy stocks, commodities and bonds.

· When the owners of a business want to raise money for their company, they issue their shares in the stock market.

· When you place a buy order for a share, your stockbroker passes on your order to the stock market. Once seller and buyer are fixed, the exchange takes place.

What is a Stock Market?

What is the purpose of a Stock Exchange?

How does the Stock Exchange work?

How to invest in the Indian stock market?

Here are some easy steps which you can follow to invest in the Indian stock market:

· Get a broker
As an individual trader, you are not allowed to go directly to a stock exchange and trade in the stock market. You need to do this via a registered stock broker.

· Open a demat and a trading account
You’ll need a demat account to store the securities you buy. You’ll also need a trading account before you can trade in the Indian stock market.

Wrapping Up

· Once you are done understanding the stock market, you can go select your broker, and open your demat and trading accounts.

· With those accounts set up, start trading!

Switch to the new Upstox

To search, select and shortlist from 5000+ stocks, easily - with Smartlists and Smart Filters

Enter your mobile number to get started

Top of Form

Get started

Bottom of Form

How does the stock market work?

Key Points

· The stock market or the stock exchange is a market where you can buy stocks, commodities and bonds.

· When the owners of a business want to raise money for their company, they issue their shares in the stock market.

· When you place a buy order for a share, your stockbroker passes on your order to the stock market. Once seller and buyer are fixed, the exchange takes place.

What is a Stock Market?

What is the purpose of a Stock Exchange?

How does the Stock Exchange work?

How to invest in the Indian stock market?

Here are some easy steps which you can follow to invest in the Indian stock market:

· Get a broker
As an individual trader, you are not allowed to go directly to a stock exchange and trade in the stock market. You need to do this via a registered stock broker.

· Open a demat and a trading account
You’ll need a demat account to store the securities you buy. You’ll also need a trading account before you can trade in the Indian stock market.

Wrapping Up

· Once you are done understanding the stock market, you can go select your broker, and open your demat and trading accounts.

· With those accounts set up, start trading!

Switch to the new Upstox

To search, select and shortlist from 5000+ stocks, easily - with Smartlists and Smart Filters

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What is NSE and BSE?

If you’re looking to become an investor, you may be aware of stock markets, and stock exchanges, however, you may want to know what is NSE and BSE? to understand that let first understand a Stock, a stock or a share, can be considered as one part of the total parts of a company - so if you own some stocks of a company, you’re a part owner. A share, therefore, has some value, and so a company raises money by issuing shares to the public. We’ve discussed this concept in detail in our post on IPOs.

Key Points

· A stock exchange is an organized market, where traders can buy and sell the shares of different companies.

· Investors and traders connect to the exchanges via their brokers, and place buy or sell orders on these exchanges.

· A set of 50 stocks in the NSE (and 30 in the BSE) have been selected, on the basis of their company’s reputation, market capitalization, and significance, to be part of a weighted formula that gives us the ‘value’ of the index.

Now, where does this issuance of shares occur? On a platform, we call the stock exchange. A stock exchange is an organized market, where traders can buy and sell the shares of different companies.

India has two main stock exchanges - the National Stock Exchange (NSE) and the older Bombay Stock Exchange (BSE). Let’s learn more about them.

NSE introduction

The NSE or National Stock Exchange is the leading stock exchange of India. It is the fourth largest in the world (based on equity trading volume). Based in Mumbai and established in 1992, it was the first stock exchange in India to offer a screen-based system for trading.

The NSE was initially set up with an aim to usher in transparency to the Indian market system, and it has ended up delivering on its aim quite well. With the help of the government, the NSE successfully offers services such as trading, clearing as well as the settlement in debt and equities comprising domestic and international investors.

BSE introduction

The BSE or the Bombay Stock Exchange is a lot older than its cousin. It was Asia’s first stock exchange. With a trading speed of 6 microseconds, the BSE is the fastest stock exchange in the world.

The BSE does have some interesting history. A man named Premchand Roychand founded the Native Share and Stock Brokers Association in the 19th century. In those times, it used to function in Dalal Street under a banyan tree - where traders would gather together to buy and sell stocks. Gradually, the network expanded and the exchange was established by the name of Bombay Stock Exchange in 1875.

How does NSE & BSE work?

The trading mechanism of both the NSE as well as BSE is similar. Investors and traders connect to the exchanges via their brokers, and place buys or sells orders on these exchanges. What makes them decide on their trading strategy? You might have often heard the terms ‘Nifty’ and ‘Sensex.’ Both of them are indices - the former representing NSE and the latter BSE. These indexes play an integral part in the working of these exchanges.

· The indices are an indicator of the health of the stocks on these exchanges (and given their scale, an indicator of the Indian economy’s health too).

· If anyone of these stock prices rise, the value of Nifty & Sensex goes up. If the prices decline, so do Nifty & Sensex.

That’s all well and good, but what is the actual role of these stock exchanges? What do they do?

· Suppose a company wishes to raise money from investors, it first needs to be registered in the stock exchange, which it does with an IPO.

· The company produces shares and sells them at a particular price. The investors who buy the shares are the shareholders of the company.

· For every share, a fixed amount of dividend (profit, in layman terminology) is paid to the investors. If the company grows, the dividend increases and vice versa.
In case the company keeps growing, it will attract more investors and more shares need to be issued.
All these transactions are carried out under a regulating authority known as the stock exchange, like NSE and BSE. Companies list their shares in these exchanges and investors buy them.

Trading on NSE and BSE

now that you know what is NSE and BSE, you should be looking forward to start trading on NSE and BSE, follow these steps:

· Firstly, open an online trading & demat account. They are required for buying, selling and storing stocks.

· Do remember to choose an authentic broker who is registered with SEBI.

· Move funds from your bank account to your trading account.

· Once set up, trading can begin!

Wrapping Up

· A stock exchange is an organized market, where traders can buy and sell the shares of different companies.

· India has two major stock exchanges - the National Stock Exchange and the Bombay Stock Exchange.

· Both the NSE and BSE provide an efficient platform for online trading and are an indicator of the health of India’s economy.

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Benefits of equity investment

When we talk about equity, the term can hold different meanings, depending on the context and type of assets. Equity in general terms is the degree to which you own an asset, after all the debts associated with that particular asset are paid off. So when you buy shares of a company, you are doing an equity investment in that company. In this section, we will go into the details of equity, equity investment, advantages of equity investment and, how to invest in equities.

Key Points

· Buying and holding a share in a company is known as equity investment.

· When you own shares of a company, you gain ownership of that company.

· The shares you buy in a stock market have high liquidity. This means your shares can be easily transferred to a different owner.

A lot of people want to learn about equity investment and execute it, especially in India. You can also invest in equity with a little bit of knowledge which you will get here.

What is equity?

Equity is nothing but ownership; ownership of anything, actually. Let's suppose you own 10 shares of a company XYZ, which has 100 shares in total. You will then be a 10% owner of the company. So, if this company makes a profit, your capital investment will rise and vice-versa.
There is a simple mathematical formula to calculate equity:

EQUITY = ASSETS - LIABILITIES

What is equity investment?

When you buy and hold a share in a company, the act is known as an equity investment. It’s called an equity investment since shares are ‘equal’ ownership avenues into a company - each share being equal to the other.

When you buy common stocks of a company from the share market, you are partially an owner of the company. When the company earns a profit, you get income from dividends and capital gains. When the company makes a loss, you will also incur a loss. Equity holders receive voting rights, meaning you will have the right to participate in the decision making process of the company.

Advantages of equity investment

· Capital Gain, income and dividend: When the share price of the company rises or the company makes a profit, you will receive a return on investment in terms of capital gains and dividends: these are the 2 main sources of income on your investments.

· Limited Liability: The liability of your shares is limited to the extent of the investment made in a company. When the company incurs loss above your investment, you don’t have to bear that loss.

· Exercise Control: When you own shares of a company, you gain ownership of that company. This gives you voting rights in the company.

· Bonus shares: On some occasions, companies decide to issue bonus shares to its existing shareholders. These shares are free shares which you receive.

· Liquidity: The shares you buy in a stock market have high liquidity. This means your shares can be easily transferred to a different owner. Contrast this with a real estate investment, which would be significantly more difficult to transfer.

· Stock Split: Sometimes, companies decide to split their stocks into parts. This reduces the share price of the company but your capital holding remains the same. The major advantage of this is that it increases the liquidity of the share.

How can you invest efficiently and safely in equity?

· Make sure you’re doing your research before you dive into the stock market.

· Keep a track of the profit and loss accounts, analyse balance sheets and cash flow statements of the companies you invest in.

· You should keep a track of your portfolio on a regular basis, and make sure it is diversified. Don’t put too much of your money into one company.

· Due to the volatility of the share market, remember to make smart decisions about when to buy/sell.

· Lastly but most importantly, you need a demat account and a trading account.

· Learn how to open a demat account and how to open a trading account.

Wrapping Up:

· Buying and holding a share in a company is known as equity investment.

· The advantages of investing in equities are - limited liability, high liquidity, capital gains, control etc.Make sure you do your research, diversify your portfolio, and make smart decisions when performing equity investments.

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What are the types of share trading orders?

Have we covered share trading before? In great detail, actually. Shares are known by different names, like equity or stocks. They are a section of a company’s capital which is divided among people who gain or lose according to the portion of capital they hold. A share market or a stock market is an aggregation of buyers and sellers of shares. In the share market, there is a term we call ‘trading order.’

Key Points

· A trading order is an instruction by a broker, or to the exchange via direct market access - on buying or selling a stock.

· A Market Order is a pretty standard trading order type. It instructs the broker to buy and sell the share at the best price possible.

· Limit Orders is another very popular order type. It allows you to buy or sell at a specific price.

What are Trading Orders?

A trading order is an instruction by a broker, or to the exchange via direct market access - on buying or selling a stock. The orders maybe quite simple or complicated. Every trade consists of at least two orders - to buy and to sell, that is, to enter and exit the trade. In the initial stages, trading may seem quite simple. Push the ‘buy’ button to enter and the ‘sell’ button to exit, but this kind of trading is quite risky and inefficient. The stock market provides numerous trading orders which traders can (and should) use in multiple combinations to trade.

Placing Orders on Trading Platforms

Plenty of different types of trading orders exist on trading platforms, so it is important to have a comprehensive understanding about all of them for a successful trade. But even post understanding them, you need to actually go ahead and place these orders. For placing a buy order, you need to follow the following steps:

· Log on to your Upstox account. Enter your login details and head over to your watchlist.

· Tap on the In the buy section, and choose the exchange. There are two exchanges in India - NSE and BSE.

· Enter the number of shares you wish to buy in the ‘Qty’ box.

· The ‘Order Type’ section provides the list of different orders that can be placed. Choose the one you wish to place.

This is how one can place an order. Similar steps are followed while placing a ‘Sell’ order.

Different Types of Stock Trading Orders

There are multiple stock trading orders that a trader can use to place different trades.
Market Order: is a pretty standard trading order type. It instructs the broker to buy and sell the share at the best price possible. As long as there are buyers and sellers, market orders are always full. It might not be very suitable for a fast moving market, and the price it is executed on may differ from the one your stock was at when you were placing the order. But it can be used when it is important for the trader to get in or out of the trade quickly.

· Limit Order: is another very popular order type. It allows you to buy or sell at a specific price. A buy order can be executed at that price or a lower price and a sell order is executed at that price or a higher price. In a limit order, the trader needs to specify this price. A limit order prevents slippage but there is no filling guarantee.

· Stop Order: (or a stop-loss order, as it is commonly called) is like a market order, the difference being that it is only processed when the stock reaches a price specified by the trader. If it does not reach that price, it is not processed and if stock reaches that price or higher, the stop order is processed like a market order.

· Conditional Order: are complex orders in which more than one condition is specified. They are only processed if all the conditions are fulfilled.

Do Different Stock Trading Orders Cost Differently?

We know that there are different trading orders available and all of them contain a different set of conditions. Orders are processed only when these conditions are fulfilled. The conditions can be quite simple or pretty complex. This makes it valid enough to price different orders differently. Limit orders are more complex as compared to market orders and thereby they increase the work of the broker, which means they will obviously charge higher fees for limit orders.

Wrapping Up

· Trading orders are a set of rules which determine how a trade will occur.

· There are different types of orders available. A trader can use a single order or a combination of different orders while trading.

· The trading order can be quite simple or complex according to the conditions it fulfills. This also results in different pricing of different orders.

· Trading Orders can be Market Orders, Limit Orders, Stop Orders or even Conditional Orders.

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What is a circuit breaker?

In the conventional sense of the term, a circuit breaker or a fuse is a contraption that safeguards electric circuits from overload and break down. Equity exchanges across the world use a similar mechanism called the circuit breaker, that prevents short term massive swings or volatility in the markets.

Key Points

· A circuit breaker halts all trading across a whole exchange or in a particular stock for some time as soon as the price of a stock or a market index moves beyond a certain percentage from the previous day’s closing price.

· A circuit breaker is needed because wild price swings are mostly irrational.
Circuit breakers are placed in tiers wherein different rules and different periods of shutdown come into force at different price levels.

· Further, before reopening, exchanges call for buyers and sellers to bid on stocks and indices in what is called a pre-open call auction session.

How do circuit breakers work?

A circuit breaker halts all trading across a whole exchange or in a particular stock for some time as soon as the price of a stock or a market index moves beyond a certain percentage from the previous day’s closing price. For example, a 10% fall in the Nifty 50 index (a market index in the NSE exchange) from the previous day’s closing price triggers a market shut down for forty five minutes. A market index is a weighted average that reflects the price of a number of stocks as a single composite price. Thus, a market index can serve as a convenient proxy for wider market price changes (if it takes the right mix of stocks into account).

Circuit breakers that shut down entire exchanges are activated based on price changes in a market index (representative of the price movements across the greater part of an exchange). Exchange wide circuit breakers which halt trading across the entire exchange based on market index price changes are in effect across almost all exchanges. In contrast, stock specific circuit breakers are generally not in use. Each exchange has its own rules that trigger a circuit breaker. A circuit breaker can be triggered by an abnormal price rise as much as by a fall--depending on the exchange’s rules.

Why is a circuit breaker required?

Wide swings in prices cause panic among traders resulting in massive sell offs, more so if smart automated algorithms are used by some. A shut down for some time tempers investor sentiment and quells speculative hysteria by allowing time for dissemination of information enabling rational decisions. This stabilises markets and upholds investor confidence in the fairness of the market.

Understanding tiers/levels of circuit breaker

Circuit breakers are placed in tiers wherein different rules and different periods of shutdown come into force at different price levels. For example, if a 5% price drop causes a 30 minute shutdown, a further 5% drop following reopening (10% drop in total) could result in a shutdown for an even greater period of time or for the rest of the day. Usually, exchanges have a three tiered system where each tier comes into play at different percentage points.

Some exchanges also have time specific rules for triggering circuit breakers. For example, a 5% price drop that would trigger a shutdown any other time, might not cause a shutdown if the fall takes place during the last five minutes of trading in a day.

Price discovery

Further, before reopening, exchanges call for buyers and sellers to bid on stocks and indices in what is called a pre-open call auction session. This allows for exchanges to fix stock prices rationally when markets reopen after a shutdown, based on wider market demand and supply. Stocks reopen at the price discovered through bidding. This measure shores up investor confidence in the stock price as it is backed by investors participating in the exchange.

Indian circuit breakers

Point to remember
Indian exchanges National stock exchange (NSE) and Bombay stock exchange (BSE) use the BSE Sensex and Nifty 50 indices as benchmarks or references in the activation of circuit breakers.

As soon as one index breaches a price level, both exchanges (NSE and BSE) are shut down. The tiers are activated at 10, 15 and 20 percentage points from the previous day’s closing price. Both rise and fall in price trigger circuit breakers. The periods of shutdown, duration of pre open call auction session following a shutdown and variation in rules based on time of the day are listed on the NSE daily market wide Circuit breakers, where you can also see prices at which each tier would be activated calculated based on previous day’s closing prices.

Circuit breakers have been activated in the Indian exchanges following greater than 10% crashes in index prices (Example - BSE sensex crashes triggering shutdowns occurred twice in the year 2008). Circuit breakers have also had to be activated following wild upswings in the indices (Example - Circuit breakers were enforced twice on the day the results of the 2009 parliamentary elections were announced).

Wrapping up

· Circuit breakers are safety mechanisms that are inbuilt into exchanges to protect them from wild short term fluctuations.

· Circuit breakers bring about a temporary shutdown of all trading across an exchange to calm market sentiment following irrational price swings.

· In allowing time for speculative hysteria to die down and effective dissemination of information, shutdowns enable investors to make rational decisions as the market reopens.

· Circuit breakers are arranged in tiers which come into play sequentially at different price points.

· Before reopening, stock prices are fixed rationally by allowing prospective buyers and sellers to bid for sometime in what is called a pre-open call auction session.

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Risk management while investing in the share market

It’s a truism that every investment or trade off in life is a bet on one thing against another. Moreover, risk is inherent in every decision made. Without due diligence and a proper strategy, any action is only as good as a wild gamble. Like in all other facets of life where a reasonable person is expected to deliberate and think through before making a choice one deems best, trading and investing in equity requires one to have a clear idea of what one's getting into, an executable strategy that accounts for foreseeable developments and an exit plan if things go awry or if a downturn is around the corner.

Key Points

· Risk management lies at the core of good investing practice. It's absolutely essential that one knows how to manage and reduce risks effectively before investing or trading in equity.

· A systematic risk refers to the chances of a generalised downturn across categories or sectors of equity.

· Short term trading is fraught with much more volatility and risks than long term investments.

· Unsystematic risks are those that are peculiar to a particular stock or a class of stocks.

The price often fluctuates between set levels, with the baseline called a support and the ceiling, a resistance.
Discussed below are risks one has to confront as a trader/investor and measures to mitigate risks which pave the way for a better shot at making profits.

Types of risks

Systematic risks

As the term makes it obvious, a systematic risk refers to the chances of a generalised downturn across categories or sectors of equity. These developments are often sudden and unpredictable. They could include an adverse political scenario, an economic crisis (for instance, an economic recession) or social unrest. The market reacts with panic after the development breaks, because often there’s little clarity at the beginning. Prices take time to settle until after details come out and the scope of the systemic changes become clear.

Though these events are mostly unpredictable and might seem to occur sporadically, an intelligent investor who stays up-to-date about the wider scheme of things will often find cues on what to expect and can enforce countermeasures such as selling off short term equity holdings. One might even be able to profit by taking short positions on stocks. The best defence against a systematic downturn that lasts long is diversification of investment in assets which thrive when the markets don't perform well, such as gold, physical assets like real estate and government securities/credible bonds.

Unsystematic risks

For example, a company might fail to perform well, reach objectives, projected earnings etc. These risks can be foreseen in most cases from an analysis of a company's historical performance, earning reports and records of asset holdings and outstanding debt, vision for expansion and projections of future prospects. Thus, a fundamental analysis[Link # 71 - What is Fundamental Analysis and how to do it?] helps investors to assess the risks of investing in a particular stock or a class of stocks, thereby enabling one to settle on the best bets.

Again, it's good practice to diversify across different classes of stocks to mitigate risk in the event that an unforeseen occurrence impacts a particular stock or a group of related stocks.

Short term trading

Short term trading is fraught with much more volatility and risks than long term investments. Short term price movements of a stock are independent of a company's underlying fundamentals most of the time. The price fluctuates based on the demand supply dynamic and is also very sensitive to external developments, such as news that could impact the company's prospects. The price often fluctuates between set levels, with the baseline called a support and the ceiling, a resistance. Demand goes up when the stock is near its support and selling increases near a resistance as traders anticipate prices to stay within the limits and trade accordingly. These levels are breached when investors demand or sell a greater number/volume of stocks than is normally traded in reaction to news that could have a bearing on the company's prospects. The stock then settles in a different price range with a new resistance and support. Thus, there are multiple resistance and support levels across price ranges.

Understanding support and resistance

Short term trading without a risk management strategy is bound to end in disaster. Every trader must understand the concept of supports and resistances and must be able to identify these price limits based on:

· Historical trends: which allow for observation of supports which have held up prices and resistances which contain prices from going up beyond a certain level.

· Moving averages: a convenient tool used in technical analysis wherein multiple day price averages are used to identify supports and resistances.

· Candlestick chart: daily price movements are represented as bars resembling candles and the patterns help to predict price movements and also identify supports/resistances.

· Round numbers (a lot of supports/resistances are usually square figures as 10, 50 or 100, in part due to investor psychology and partly because financial institutions usually trade in prices that are whole numbers and not decimals)

· Fibonacci retracement tool: A popular tool for identifying strategic places for transactions to be placed, target prices or stop losses.

After determining support-resistance levels, traders can decide when to sell their holdings, either to make a profit before a likely downtrend, or to cut losses at the start of a likely protracted fall in prices. Similarly, stocks can be bought at near support prices while limiting bids at higher prices near the resistance level. The short term trader also has to be mentally agile enough to accommodate new developments and modify trades based on the weight of breaking news. Further, large institutional traders often use automated algorithms which manipulate or distort market trends, making short term trading even more risky. One can also watch out for rallies (a consistent up or downtrend over a reasonable period of time, usually a few days or weeks) to make short term trades with a relatively lesser degree of risk.

Functions of risk management

· Enables investors to identify the best investment options in the market offering higher likelihood of great returns relative to risk.

· Reduces risk of incurring losses significantly by means of diversification across stock classes and different asset categories.

· Informs trading strategy, that is, determination of prices at which to buy or sell.

Though risk management practices can never reduce the risk to zero (in fact, risk is never non-existent with anything), proper planning can significantly cut down risks and considerably boost the chances of profiting off investments. All it requires is effort and willingness to learn on the part of the investor.

Wrapping up

· Adoption of risk management practices is absolutely essential to reduce the risk of incurring losses on investments.

· Systematic risks, which are risks threatening the whole market, can be hedged by investments in alternative asset classes.

· Stock specific risks can be reduced by proper fundamental analysis and scrutiny of stocks before investing.

· Short term trading is more risky than long term investments and thus traders need to be much more cautious and vigilant.

· Every trader or investor must have a market entry/exit strategy to cut losses and maximise profits.

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What is an IPO in the share market?

IPO or Initial Public Offering is an offer of shares made by a company to the public for the first time. After an IPO, the shares bought by the public can be traded on the share market. This article is an introductory guide to an IPO.

Key Points:

1. Companies offer shares by going public in order to get access to a large amount of capital.

2. SEBI carefully scrutinises the application and after making sure that all eligibility norms are fulfilled, it gives the company the go ahead to file an IPO.

3. IPOs can be accessed through banks and brokerages that have undertaken to conduct the IPO proceedings on behalf of the company.

4. Once an IPO closes only then does the company get listed on the stock exchange.

In an IPO or initial public offering, the offered shares are bid upon and successful bidders are allotted shares. The term ‘public’ encompasses private institutions and financial institutions called Qualified Institutional Investors (QII). Simply put, companies offer part ownership in exchange for money. If the company grows, the value of the shares you hold in the company increases, profiting you. If the company fails to perform, your share value drops down.

But, why do companies feel the need to raise money through IPOs? Here are some reasons to go public.

Why is an IPO needed?

1. Easy access to huge capital- This is the primary reason companies offer shares through IPOs. It’s often hard to raise large amounts of money from private investors. Settling debts could be a part of the aim of a company, however, more often than not companies are looking towards increasing the working capital they have on hand in order to improve their company’s performance.

2. Increase in credibility - Getting listed in a stock exchange adds credibility to the company. This can be quite useful in many situations.

3. Helps find market valuation - An IPO helps gauge public sentiment towards the company’s future prospects and its market value, that is, how much it is valued and demanded by the public.

4. Reward for private investors - IPO offers an exit route for private investors who can now sell off their shares at huge profits or just see their net worth rise manifold as the shares gain in value.

How does an IPO work?

Here’s what companies have to do to file an IPO.

· A private company decides to raise capital through an IPO.

· The company contracts an underwriter, usually a consortium of investment banks which assess the company's financial needs and decide the price/price band of shares, number of shares to be offered etc.

· The underwriter then participates in the drafting of the application which is called Draft Red Herring Prospectus (DHRP) that is sent to SEBI (the regulatory authority for approval with details of the company's past financial records including profits, debts/liabilities, assets and net worth. Also, the draft mentions how the funds to be raised will be used.

· SEBI carefully scrutinises the application and after making sure that all eligibility norms are fulfilled, it gives the company the go ahead to file an IPO. The company then releases a ‘red herring prospectus’.

· The ‘red herring’ prospectus is a document released by the company mentioning the number of shares and the issue price/price band (price of one share) to be offered in the IPO. It also has details of the company's past performance. In short it is encyclopedia of the Company.

· In what is called a ‘Road show’, company executives travel to meet with and woo potential investors to buy their company’s shares.

· The IPO opens for public investment and can last for about 3 days, though it might even be open for 5 days depending on the demand.

· During this time, retail investors can bid for stocks through their banks/brokerages via the internet.

· Investors need to have a demat account to participate in an IPO. A PAN Card is a mandatory document in order to open a demat account.

· If the stocks you bid for are allotted to you, they'll be credited to your demat account. If not, you'll get your money back.

And here’s how you take part in an IPO and bid for shares.

How to bid for shares in an IPO?

· Make sure the IPO is open to retail investors.

· IPOs can be accessed through banks and brokerages that have undertaken to conduct the IPO proceedings on behalf of the company.

· You need to have a mandatory demat account to bid for shares.

· You can bid for shares from an IPO either online or offline through ASBA (Application Supported by Blocked Amount) facility only.

· For offline bids, you've to fill in the specific application form available with banks and brokerages, given that they open up an IPO to their clients. You can bid online through the bank/brokerage’s website which will be done through ASBA as well.

· After the bid is done, shares will be allotted to you in full, or apportioned among bidders in case of oversubscription, that is, you’ll receive a part of what you’ve bid for.

· The shares are credited to your demat account or a refund is made for unsuccessful bids.

Finally, companies get listed in a stock exchange after the IPO comes to a close. Stock exchanges have their own norms based on which they list a company and allow trade on their exchange. IPO is the first stage wherein a company goes public. The next stage is the secondary market where securities are traded.

Wrapping Up

· An IPO is an initial offer of shares to the public made by a company to raise capital.

· Companies file IPOs to raise money, expand, pay off debts, gain credibility, gain negotiating power, to get market valuation and to reward private investors.

· Companies go through a long regulatory process before they can bring an IPO out for public investment. SEBI acts as the regulatory authority.

· You can bid stocks in an IPO either online or offline if the IPO is open to retail investors. You need to have a demat account.

· IPOs can be a rewarding investment if you choose wisely. To know more about IPOs and for tips and strategies on how to invest in IPO.

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HOW TO INVEST IN STOCKS: BEGINNER’S GUIDE

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