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Monday, January 21, 2019

Life Lessons I Learned from Share Market!

1. Options- 
                         When You Start trading, Start investing money in Share market. You come to know about Options. There are 3 options in the stock market which let you earn money. Future Option, Call option & Put Option. In short 'Options' are nothing but a guess where you guess a value of a stock, you invest money in that stock today & wait until it reached your guess value and you get profit. But in Share Market Future option is considered as High Risk, Limited Profit option because the value you can guess might get time to reach & if it is going in the opposite direction then the loss is so much. While Call option & Put option is considered as High Profit and Low Risk. Because Whatever Transactions are done with these options are ends in a day or 2 days or maximum a week. But the main point of Blog, What Life Lesson I got from it? 
               When you start working for your passion, you invest your time, hard work into it. So while investing try to get profit in short time. A profit can be an experience, Development of Good Habit, etc. If you just think about the future, you might ignore what you could get today.
Future is profitable but it could cost so much. 

2. Short Term/ Long Term Investment- 

              When I start investing in share market after some time I got know about some strategies. Some of them are failed and some of them are profitable. One of the strategies is that If I want to invest for a long time I would invest an equal amount of money in multiple stocks, So after the time reached some of the stocks might be in the profit and some of them are in loss. But The Profit Will Cover The Losses. So in the end what will you get is just pure Profit. 
             If I want to invest for short term, I would invest in a few stocks but the amount of money will be high. This few stocks won't be any stock. They should be profitable. So While selecting the stocks, We should have Past Performance Study of that few stocks. So in the same way in Life when you got to know what is your passion, you should invest your all time and hard work into that particular thing. But The Past Study is Compulsory.
            Long Term investment can be mostly used by teenage boys and girls. They should invest their time and work in multiple things equally. So in future, they will have so many experiences of different things.  At the time of Decision Making about what actually should they do, They might get confused (which may be considered as a Loss) but The Profit Will Cover The Losses. & in the end, you will be in Profit.