Why are people more interested in share business?

Think of a business that takes less than an hour a day to trade, that doesn`t require a lot of capital, that can be learned in a relatively short period of time, and from which you can earn a relatively high amount of money on a regular basis, then such a business is a better business. What else is there? Every month lots of people in different countries of the world are turning to this business as full time or part time traders and many are earning a lot of money too. Even many who have no knowledge of stock trading are becoming successful stock traders by following the advice of reliable experts. Why people are interested in share trading is discussed below. Let`s say you have ten lakhs of capital. You wish to invest the money in setting up a profitable industrial plant or any other profitable investment. But you don`t have the time and effort required to make the money. Or you live in a remote part of the country where the raw materials needed to set up a viable industry are not available. The market is also limited. Lack of skilled workers, hassles of running factories, selling products are also not pleasant for you.

Some people in your country have invested their savings and started small businesses, some have set up rice mills or light engineering factories. But due to fierce competition and various other reasons, those businesses are not generating satisfactory income. Some industrial establishments have suffered. Some businesses are closing down.

You are also not interested in depositing money in national savings schemes. Because the real value or purchasing power of that money will decrease due to inflation while getting the money back after a long time. Bank deposits also offer relatively low rates of interest. So you are looking for a relatively good investment opportunity.

In addition, some people are not interested in making additional investments in land and houses after meeting their basic needs. We know investors are also classed. Those who are interested in investing in various financial instruments (shares, savings, projects etc.) rather than buying land, houses are the target of our discussion.

In such a situation, it can be thought that at the same time, a few people who are well-known in their respective professions are going to set up an industrial company with great export potential at the cost of several crores of rupees. The average annual income from the proposed institution will be 50%. If you are given the ownership part of the company on the basis of the proposal that you will start a business with limited capacity on your own initiative and continue to earn that amount of profit, then it can be a better investment opportunity for you.
In addition, if the share price increases, there may be an opportunity to earn capital gains by selling the shares or ownership part in a very short period of time. It is not possible to get out of business. But it is possible to easily exit from investment in shares of listed companies.

For other needs, you can get cash by selling equity or shares immediately. By buying shares from the secondary market there is an opportunity to receive profits, dividends or other receipts. Above average returns from shares are hard to come by in any other alternative investment source.

Following are the factors that can be identified as reasons why share trading is more attractive:

1. By investing in the right shares, it is possible to earn satisfactory, even in many cases, unexpected profits in a short span of time, sometimes just days or weeks. Profit comes in different ways-

a) Capital gain or profit from buying shares at a low price and selling them at a high price.

b) dividends;

c) Bonus shares or other receipts.

2. Opportunity to enjoy business dividends without labor by exploring ownership stake in many reputed or skillfully managed industrial establishments with low capital, no expertise.

3) Achieving higher expected profits through proper investment decisions with less labor and less capital.

4) In the case of setting up an industrial factory on one`s own initiative, even if there is no future possibility of earning profit, it is not possible to immediately sell the factory building, machinery and leave the business and transfer the capital to the new potential industry. But this rare opportunity lies in share trading.

5) Consider investment of 100 rupees in Singer company and get 1 lakh 56 thousand 460 rupees in 16 years (very conservative calculation). Many people may not give importance to this example based on the idea that such an opportunity will not come again in the stock market. However, in the light of Singer`s success, the stock market is the best place to invest for those who will find potential shares to gain more profit than other investment areas of this country.

6) Assurance of obtaining necessary funds by selling partial or complete shares at any urgent moment etc.

Risk !!!

What is surprising to many is that the risk involved in share trading is not as high as many people think!!! If it is possible to know the right price of the shares and if it is possible to buy the shares at the right time then the level of risk is very negligible !!!