LOCK, STOCK, invest!

The stock market sounds enticing, yet elusive to many. Shraddha Kamdar gives you the lowdown on how to let your earnings rise with it

- Shraddha Kamdar

For Mumbai-based mass media graduate Shivani Thakkar, it was a spur-of-the-moment decision to be a part of the dazzling world of stocks, and she’s not looked back ever since. “I had no idea what I was getting into when I purchased the first bunch of five shares of a tech company. I was 19 and had earned a small amount of money from an internship. My brother suggested I invest that money into shares, and today, I can say I am an active investor. I look up details of the company, its performance, stock prices and rate of dividend before I buy and sell, and have built a tiny amount of capital,” says the 21-year-old.

Like Thakkar, you’ve heard of it crashing and rising, and often wondered what the big deal about it is that it involves a huge rush of adrenaline! You’ve heard of bulls and bears, and been curious what the stock market would entail if you entered it. You’ve also heard all kinds of advice—the risks, the losses and the gains. Worry not, we have just the answers for all your doubts.

THE LURE OF THE STOCK MARKET

The world over, stock markets have pullover millions who are in it for varied reasons. “Stocks are attractive since the potential returns are far higher compared to traditional investment tools like fixed deposits and bonds. They also help beat the inflation margin in the long run,” reasons Rusmik Oza, Sr VP & Head— Fundamental Research, Kotak Securities Limited.