Why do we come to stock market?

Stock market has been an age old attraction with traders and investors world wide. The most common answer to the above question is ” I have come here for profits”

One thing that everyone must understand is that Profit is the return generated on your capital over a period of time which may be one day, one year or 10 yrs… When any one is investing in bank Fixed Deposit or any traditional investment plans then also one is generating returns in the form in bank interest over a period of time.

So the question is why so many people come to stock market?

Answer is simple – to generate more returns from the traditional investment plans.

But the main thing is mostly unnoticed by most of the market participants and that is the Risk that they are exposed to while investing in stock markets.

We, at TRADING SIKSHA always discuss with our members that We should always know the reason and main purpose of coming to the market. The truth is always bitter but one should take it by the chin and a pinch of salt and accept the reality.

A trader or an investor must always remember that to make stock trading as a profession, one must try to focus on the risk associated with the investment. Once your know how to manage your risk and control it – you are almost there to attain Nirvana in this industry.