Since market have turned bullish..its obvious for common peoples to get attracted towards stock market .Today we have listed few simple share market tips:
- Invest In Scalable Businesses:Don’t mere invest in stocks but invest in businesses which are scalable. One may need to do some home work to identify such companies who have good development prospects and there is no short cut.
- Invest in comany having Ethical and Honest management: Check who is managing company and their history.Invest in company who have ethical and honest management.
- Don’t listen to your neighbor: Your neighbor will speak to you about his good stocks only.Remember that every investor carries good as well as bad stocks.so don’t listen to your neighbor.
- Don’t Join share market classes:Share market can be learnt by experience only.It can’t be learnt in class room.So avoid wasting time and money learning it in class room.
- Invest through Equity Mutual funds:Risk management can be better through mutual funds so take route of equity mutual funds.
- Invest in cash market: In long term its always difficult to make money through speculation.Derivatives like Futures and options are for short term speculators and need to be avoided.
- Invest in cash rich and zero debt companies:There are number of companies in market which are rich in cash and have minimal debt.If any company is paying huge interest on debt then it has negative impact on profitability,balance sheet and stock price.
So start investing in equity today with proper information and start gaining dividends on your investment.
