Know how loss occurs in share market?

How does loss occur in the share market? A person who does not know about the share market definitely has this question in his mind that how is the loss in the share market? Friends, I will try to tell you this through today's article.

Many people in your family may also think that when you talk about stock market, it is a speculation, a gambling and people get ruined in it. But the reality is something else, so today through this article we will know why there is loss in the stock market and what is the reason for it.

Friends, in reality the stock market is like a business, shares of all the companies in the country are listed here, if we buy those shares and invest money in them and that company grows, then our money also. This is what keeps the stock market growing.

How is the loss in the share market?

Let us know what is the loss in share market? Friends, I am telling you below some of the main reasons for loss in the stock market, due to which 90% people lose their money in the stock market.

Friends, the main reason for loss in the stock market is that they want to become rich overnight, they think that they will come to the stock market and invest money and that money will grow 2 times to 4 times but the reality is something else. Friends, if you enter the stock market without knowledge, you may get ruined.

The main reason for loss in the stock market is coming here without knowledge. Secondly, even if you come with less knowledge and invest money in a company, that is, you buy the shares of that company, and if the price of that share becomes less than the rate at which you bought it, then because of that you lose money. Loss occurs.

Example - Suppose your friend told you or you heard from somewhere that you should invest your money in A share because it is going to increase, on his advice you bought the shares of A company worth  10000. Now if the price of this share decreases then you will suffer loss.

Read Also – How to start in stock market for beginners?

Friends, the share market is not such that the price at which you bought it keeps increasing directly after that. The share market works in a different way, like ₹5 came down, then ₹10 went up, then ₹3 came down, then ₹5 came down, then ₹15 went up, so this is how the stock market works.

So if you also want to invest in the stock market, then first of all you must gain knowledge of the stock market and you will get this knowledge on YouTube.

Disclaimer - The information we are giving you on this blog is for educational purpose. Before investing your money in the share market, take complete knowledge and professional advice.

conclusion

In this article we told you how loss occurs in the share market? If you liked this article then do share it with your friends. If you have any confusion, please tell in the comment section. Thanks.