Since 1990 the Indian stock market BSE (Bombay Stock Exchange) and NSE (National Stock Exchange) have seen a many time downtime due to undercover corruption by the ministers and company executives but only few times they gone busted in media and those few news are still available for discussion media promotes it’s business for collecting more TRP for profit but in this process the common people got their own developed idea that Share Market or Stock Investment is nothing but something like a Government approved Gambling.
Here in this article I will bust information about those “10 Biggest Stock Market Myths” people are thinking is real but after reading this article you should promote it for making people aware of the real means of the terms like Stock Market Investment or Investment in Share Market.
#10. Talk to your Broker he will Make you Rich
It’s right that your broker will help you in placing your investment using right way but he will never ever will take risk on your behalf means he should not use your money for making your investment portfolio because if it is happening with you are you are yourself promoting this action then stop the same just now. In this management you will never be able to understand the Stock Market and in future you will be empty handed just because no one can understand your personal need and future expectations from a sum of money.
If you are a believer of this myth why don’t you check and yourself asking a question that if those brokers are able to make money for you why not they do the same for themself and enjoying their life instead of sitting in a small office during market timing.
#9. Just follow an experienced Friend’s investment portfolio
Might be your friend is earning a decent return on overall investment but what is the guarantee that he/she will also takeout some time for managing your portfolio for profit, even you may also be not aware of the facts that how much he lose every year due to market downtime or a company crash. You should know that we are able to see happy moments more frequently than reading the worst one and yeah your friend might be hiding the same.
Also no one will ever will allow you to copy your friend’s portfolio and do the same because in the Stock Market no one can be exact about the calculations and results, so do a decent research on the personal basis before copying your friend selection.
#8. Put all the Money in Today’s High stock
You are going to be a Stock Market Investor means you already have started with watching stock pricing and sectors to invest withing on the basis of current news and demand and supply ratio and on your or other’s analysis of profit or lose but here also you should not be careless and choosing the 52 week high or today’s or yesterday’s high performer because due to any recent news you may lose your investment instantly.
#7. Company can Cheat and Eat our Invested Money anytime
If you think Share Market is a game where anyone can enter and setup their shop then it’s not true but you should be aware of the finance ministry of the country where ministers do take decisions to pass companies nominations for adding them in market on the basis of their overall value, you can also include even daily profit or lose for getting company approval in the market and just before approval company’s pays some security for developing their business on launching stocks for public investment in their business plans or their own investments.
#6. Our Economist are well Known about profit and loss
No one even the country’s first person also not knows about the share market fluctuations because it goes in real time it depends on industries overall business, it depends upon any particular negative or positive results, it depends on foreign investors, it depends on natural calamities, it depends on Government announcements etc so no one can be a person or community who knows about all these happenings at the same time.
#5. If You have to Get higher Return only Share Market is an Option
No it is also not true because your investment strategy may also give you a huge lose if company gets lose due to some announcements or the natural calamity and company failed to complete the clients order.
According to experts and big names in investment world only real-estate investment may be beneficial for the commons.
#4. All Rate fluctuations are In Hand of few Rich Peoples
It’s around the reality because not few but all the rich people may do so, but it’s not a possibility that all the rich people will take out all of their investment at once to fulfill their requirements leaving the companies falling and destructing the investors society.
#3. Only Rich People Makes Money By Investing Money
Rich people can do a quick investment with the bigger fund value and hence they can make a huge profit or lose soon but a common man who have only few dollars to invest on the monthly basis can also become a mega investor by investing in best of the smaller stocks to gain huge profit in long term. In this situation poor people will also become rich by investing in stock market but his/her investment term will surely be a long term investment with the perspective over 5 or 10 years.
#2. It is a Quick Money Making Scheme
Only few peoples made this possible due to their luck you can say and they were rich previously so doesn’t matter, in this business or say professional you have to be a long term investment for making some big change where you can say that my life has changed to 360 degree after being a stock market investment. No one should invest thinking that within a week he/she will be a millionaire and in the same dream invest all the balance what will make you a beggar again.
#1. Stock Market Investment is Gambling
Peoples of the developing countries like India, China and Pakistan thinks Stock Market or Share Market is a big form of Gambling and where only luck can work for making money. Getting all the information in the detail they think that Government is also running this Gambling game for an excellent commission they get to cover their costs and to make their plans powerful to win the next elections for forming their Government again.
While I would like to describe this point in the detail like Stock Market is the biggest system where the companies nominates themself to get listed and attract peoples investment in their plans from around the globe as their expansion strategy and when company goes with the their plan and makes profit investor also gets their share value or simply the loss if company shows loss in their overall earning results.
This system is nothing but an economical power to make help in living the country’s peoples on terms of financial and infrastructural growth and all the sub dependent demands of the countrymen.