Many
of peoples ask me when they don't no about Stock actually Stock is an
investment that the peoples pay to a company and they believe that
the company will make money. It's a kind of advance or loan, expect
that payback isn't guaranteed. A bundle of peoples give a company
cash, and they payback those peoples known as investors get a certain
amount of shares of stock. The company offers these share of stocks a
certain cost, and they payback more cash you pay, the more share you
purchase. The Cycle is repeat and it is based on international market
also.
For
example, if the price of Reliance stock is rs 10, then you can get 3
shares for rs 30. When you write Reliance a check for rs 30, they
give you 3 shares of stock.
Then
after What can you do for that share?
Many
of peoples buy or want to sell the stock more then they brought them
for, so they hold that share to earn profit or earn cash. Then if the
share price goes up to rs 15 then you can sell out your three shares.
Therefore you spend rs 30 and finally you got rs 45.
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