The stock trading industry is something that attracts a lot of investors, intimidates some, and confuses some as its journey has continued for decades. Nonetheless, every investor has made at least one visit to the stock market to try their luck! So, if you have been thinking of diving into this sea of opportunities, use your intellect and make wealth by investing in different types of shares and securities. In 2020, while most of the industries have observed fluctuations and been through a roller coaster ride, the stock market started booming at the end. The prime reason behind this hype was traders realising the benefit of investing when the market is facing a low. So, you can also use this opportunity and open a Demat Account and trading account to start your investment journey.
There are many reasons for you to start investing in the stock market this year. But before you consider the stocks and start analysing the rates, you need to have a Demat Account to store your certificates electronically. To get more information about the Demat Account and get services from the best Depository Participant, click here and start your venture!
Keep a track record of Sensex every day and plan your investment strategies accordingly!
Major Reasons To Invest In Stock Market In 2020
There are several reasons to start investing in the Indian stock market and open a Demat Account with your preferred Depository Participant. All you have to do is identify yours out of all these!
Stock Prices Are Comparatively Low
In 2020, many companies, private organisations and even government entities have released shares and securities at low prices. Yes, since the pandemic brought the country to a halt, and there were constant fluctuations in the money market, some investors have made a great fortune with their analytical choices. You can also do the same, and try your intellect in this field by opening a Demat Account and trading account.
Offers Good Returns
The stock market offers good returns, and sometimes, you can even benefit more than you anticipated if your decisions are up to the mark! Unlike other money market tools, you can use shares and securities as a reliable investment option. While most people reward their luck for gaining or losing in this market if you are rational with your decisions, you will always crack the best deals.
The measure of good returns is not just monetary. It is also about the value of your shareholdings that do not remain constant and yet yield fruitful results if you are good with the timing.
Bonus Shares and Dividends
Many companies offer bonus shares and dividends to their existing and loyal investors when they intend to expand their funds and investment circle. You can take advantage of these additional benefits by making the right choice of shares. If you are looking for a long-term investment option, you can make the most of these perquisites. And if you get a good price, you can sell these bonus shares to earn more.
Start With Limited Funds and Circulate Investments
Most people do not step into the field of investment thinking that they will need a constant flow of cash for keeping their chain active. However, there is no such rule in the stock market. You can invest a limited amount of funds and then circulate that money by constantly buying and selling your shareholdings until you cross the breakeven point of profit!
Independence of Taking Investment Decisions
Unlike other investment fields where you need to depend upon banks or managers to invest your money, you can enjoy your independence and make your decisions. The freedom of choosing your investment tools and acting as per your intent will allow you to grow and develop as an investor. Also, you can hold your shares when you do not want to participate in trading activities, or there are other work commitments.
No Lock-In Stage or Fixed Period
There is no fixed lock-in period for holding the shares and securities in the stock market. You can invest today, buy shares, and then sell it the next day if you are willing to! Your activeness and decision-making will determine your trading decisions. Escape the need for holding your money for a fixed time to get fruitful returns.
A Range of Investment Options
The stock market is not stagnant or homogenous! You will get a range of investment options starting from shares and bonds to IPOs (Initial Public Offerings) and government securities. Enjoy the field with diverse investment choices!
You do not need to sweat a lot about your investment decisions and worry about making the right choices in this industry. You can learn as you grow as an investor and start immediately without rushing with your judgments. The more patient you stay while building your strategy, the higher will be your chances of growing as a wise investor!