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Best Ways to Invest in Share Market for the year 2020

Author: Himani Singh
by Himani Singh
Posted: May 02, 2020

Do you want to invest in Share Market?

If you want the compounding of money to work in a higher extent where only your brain and money are involved, you should go to invest in the share market.

There would be various opinions on the share market by financial experts and other people like your family, friends, and colleagues. As a coin has two sides share market also has two kinds of people one in favor and another against the share market.

Invest in Share MarketViews Against Share Market
  • Don’t Invest in share market, you would lose your money.
  • I gave my money to ___________________ financial institution and lost my money in the share market.
  • Don’t be greedy. Share market is full of people who want to take all your money.
  • The share market is like gambling, you can either lose or win in that game.
  • Don’t risk your money in the Share market, it is better to with the banks.
  • Save your hard-earned money rather than investing in the share market.

There would be many other opinions that you would hear from your family and friends about investing in the share market and its implications. Some bad examples of relatives of losing their money.

Views in Favor of Share Market
  • I had invested my money in the share market and have earned great returns over the past years.
  • I am earning more money in the share market than my current job.
  • Do you know people can earn and make money in millions in the share market?
  • There are some financial institutions that invest your money and give you handsome returns on your investment.
  • Invest in Share Market only if you have proper financial literacy.
What is Financial Literacy?

Financial Literacy, Kindly give this word a lot of importance. If you can master the word you could master the trends of share market.

Financial Literacy is a term used as financial intelligence. An ability to understand the financial statements of a company, its past profit and loss statements, and books of accounts is known as financial literacy.

While investing in any share in the Share market, you should go through the fundamental and technical analysis of the company. The understanding of the technical charts, balance sheet, asset, and debt of a company is known as financial intelligence.

Invest in Share Market

Invest in share market only after understanding the financial statements of the company.

How can you invest in Share Market?

Disclaimer:- Go to this step only if you feel you are ready to handle loss as well as profits.

Don’t worry, Loss can be recovered with profit.

First, you need to have a Demat account with either your bank or with any of the discount brokers.

Invest in Share Market

We would advise to go with any of these discount brokers in India:-

  • Zerodha
  • Upstox
  • 5 paisa
  • Angel Broking
  • Alice Blue

You can go with any of the above brokers or other broker of your choice. You can open your account with these brokers online and do check its charges before opening an account with discount brokers.

Why do you require a Demat Account?Invest in Share Market

Without a Demat account, you cannot invest in the share market. Discount brokers or banks that provide you with a Demat account are a link between stock index and individuals.

A retail investor cannot directly invest with the Bombay Stock Exchange(BSE) or National Stock Exchange(NSE). You require a Demat account with any of the Securities Exchange Board of India(SEBI) registered broker.

  • Bombay Stock Exchange(BSE) has an index known as SENSEX which constitutes of the top 30 companies in India.
  • National Stock Exchange(NSE) has an index known to be NIFTY 50. Nifty 50 is an indicator of the top 50 companies in India.
Few points to remember while Investing

Invest in the share market while having a few of these points in your mind.

  • Investing in the share market is easy but picking of your stocks plays a major role.
  • Profit is made when you buy the shares and not when you sell the shares.
  • Don’t be emotional while buying or selling the share.
  • Don’t be greedy, Get out after booking your profit.
  • When the market fear, it is your time to buy the share.
  • When the market is bear, don’t fear.
  • Don’t put all your eggs in one basket. Diversify your investment.
Are you ready to "invest in the share market?"

The only person that can answer this question is "You." Check out videos related to Basics of Stock market, gather knowledge and information in investment of your funds.

Always try to diversify your portfolio rather than investing all your stocks in one basket.

"Financial knowledge is the key to your success"

Gain ability to read the books of accounts, past records, financial and technical analysis of the company.

Do you have any other questions in your mind related to investment in the share market?

About the Author

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Author: Himani Singh

Himani Singh

Member since: Apr 16, 2020
Published articles: 16

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