SHARETIPSINFO >> Articles Directory >> 15 reasons to invest money in stock market
If you are contemplating the idea of investing in the stock market but still can not make your mind, here are few reasons that will help you take the decisions for investing in stocks.
- Good return – Stock market investment can get you huge return that is otherwise impossible from any other source of investment provided you have invested at the right stocks. There are instances where investors have gained manifold within short period of time by investing in certain stocks.
- Long term investment – You can invest in the stocks for long period of time as well. If you are doing delivery based trading you can hold the stocks for as long as you want. You can gain from your long time investment in the stock market as that will give the stock enough time to appreciate.
- Regular income with long term return – You can even earn regularly by trading in stocks while investing in that for long term. You can earn buy a stock at a lower price and then sell the stock at a higher price and then again buy that stock when the price reduces and hold the stock for longer period.
- No lock in period – Unlike some other modes of investment where you can get higher returns, stock market investment has mo lock in period. That means you do not have a time frame for selling the stocks. You can hold the stock for as long as you want or sell the stocks right after buying the stock.
- Earn from dividends – There are certain companies that offer dividends at regular intervals. This is done by the companies to distribute the profit among its investors. You can earn regularly from these dividend stocks by investing in them at a point of time.
- Benefit from merger – When two companies merge together or one company takes over the other it is often seen that the price of the stock rises manifold. This is a unique opportunity fro the investors to earn from this situation by investing in companies that are about to merge with the other.
- Bonus shares – When a company plans for expansion or gather funds by opening new stocks they offer bonus shares to its existing investors. This bonus shares are offered at significantly lower price than the current market value of the stocks. This is also a gain for investor if they at all wish to invest further in the company.
- Take your own decisions – When investing in the stock market you can actually take your own decisions regarding the extent and type of investment. So unlike other forms of investment you can control your investment more actively.
- Invest with little fund – Even if you are having a small fund to invest in the stock market you can earn good returns by investing in the stocks. There is no limit for investing in the stocks and with small funds you can actually gain a lot by investing in the penny stocks.
- Wide options – When it comes to stock market investment you have got wide range of options. You can either do derivative trading, or do margin trading or you can choose the conventional route of delivery based trading.
- Simple trading process – With the online trading facility widely available these days, trading in the stock market have become easier than ever before. You can simply buy and sell stocks at the stocks market with a click of the mouse.
- Lower brokerage – The brokerage of the stock trading have gone down significantly with the online trading.
- Transparent procedure – The stock trading business have become lot more transparent with the regulations and autonomous bodies looking after the procedures of stock market.
- Extensive help – You can access research and analysis services and share tips from various sources.
- Take part in the growth – Lastly with stock trading you can directly take part in the growth of a company and eventually in the growth of the economy of the country.
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