Stock market is the collection of markets and exchanges where the regular activities of buying, selling and issuance of shares of publicly held companies take place. A stock market is a market that is dedicated for the trading of various kinds of securities in a controlled, secure and managed environment. Stock market ensures transparency in all the transactions. A stock market provides a secure environment where the participants can transact in shares and other financial instruments with confidence with very low operational risk. Investing in stock markets may provide the participants with good returns and can beat inflation.
Before getting into investing in stock markets the participants should follow some basic rules to ensure good results. The participants should never invest blindly, that may result in loss. If the participant is thinking about investing in stocks, they should should have the correct amount of knowledge and should be able to handle the basics of investing in stocks before investing. Participants should invest only the surplus funds they have which they can afford to lose. Participants who are going to invest should avoid leverage.