Don't gamble do investment in stock Market - Money Maker Research Pvt Ltd

by Aish Joshi Financial consultant, Technical analyst, Capital M

Stock Market is very huge field, many people has desire to learn and want to invest in stock market. It is very volatile field, every second price and trend of stocks change, investors make profit and some times huge loss . A Profitable investment inspired for big investment and loss frustrated.

Share market mainly dependent on investment, it is capital market just like a business. When you buy or sell company stocks you are dealing or trading many shares or simply ownership; Simply means you are purchasing company ownership or invest in company's business.

Movement of stock price based on trading(buy/sell) of stocks in market. Each stocks has its market value which is decided by its market capitalization, growth, profit and Financial position.

Most of the people do not invest in stocks or afraid about it. They think it is totally speculation or gambling.

Is stock market really Speculation or gambling ??

I will not fully ignore this point, in lot of ways it is. A common point between between investing, gambling and speculating is risk but the level of risk differentiates them. In investing you can analysed and manage risk but in gambling it will be random chance, Speculation is not different than gambling but it is just like to take calculated risk and it is not dependent on pure chance .

Investing is good thing, gambling is bad thing

If you make investment, it is a contribution to drive economy. Investment is widely regards as engine to drive economy, it tends to put money in hands of those with the most promising and productive uses of it and drive economy gradually upward.

Gambling on the other hand is not so clearly making positive contribution, it does not help economy, but also create unpleasant side effects.

Don't gamble do investment

Investment based on skills and a system based on research while gambling is based on emotion and luck.

If make investment you put your money on risk for the purpose of making profit after conducting sufficient research you are aware of risk factors, a systematic approach is being taken emotions such as greed and fear play no role and result positive economic effects.

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