Uploaded on Sep 23, 2020
Here are some key benefits of investing in the stock market. Get advice from stock market brokers who can help you build your portfolio in the right direction. Visit: https://www.ajmeraxchange.co.in/blogs/key-benefits-of-investing-in-the-stock-market
Key Benefits of Investing in the Stock Market
Key Benefits of Investing
in the Stock Market
Wondering what’s all the hype about investing in stocks and seizing the
moment? You have landed at just the right place for an answer!
If you have been working on your investment portfolio, stocks can be a
valuable part of it. Investing in different companies or as they say
‘owning stocks’ in different companies can help you work towards your
savings and protect your money from inflation and risks. While there is
always a risk involved in stock investments, hiring a
stock trading company can do wonders for you. If you live in Mumbai
or nearby, good and trusted stockbrokers can be easy to find. Most stock
trading companies, given the current scenario, serve their clients online
too which has become a convenient mode of communication.
But before you reach out to a stock advisory, why should you consider investing in the stock
market? Let’s find out:
The gains you would get
First and foremost, the main reason why most investors enter the market is looking at the
opportunity to grow their money. Though the stocks rise and fall daily, if you invest in companies
that have steady growth and you see a potential in them, you are likely to make profit. If you
invest in multiple companies, you’ll be able to build your wealth by leveraging the growth in
different sectors of the economy.
Expansion in your income
Relying on your salary is a safe source of income. But if you are looking to grow beyond that
without giving up your fixed source of income, investing in stocks is the best way to go. Some
stocks give you returns in the form of dividends while some deliver annual payments to the
investors. You’ll receive these payments even if the stock loses its value. On the other hand,
dividend income can be your resort for your retirement plan or for buying more stocks.
Get higher returns in a shorter time
Unlike investing in bonds and fixed deposits, stock investors have a greater
opportunity of making more money in a shorter period of time. By this, we don’t
mean you make hasty investments that are beyond your risk appetite just to make
more money. But a good stock advisory will guide you through the path and help
you achieve these profits with stability.
You get the ownership stake
By investing in a company, you get the ownership stake and the benefits of being
one of the business owners. Being a shareholder, you get the right to vote on
corporate board members and specific business decisions. You will also annually
receive the reports of the company which can help you analyze its business. Apart
from your personal job, owning stocks in a company can add loyalty to the business
and make your investments a part of its success.
You pay lesser tax
When you invest in stocks that provide dividend income or capital gains, you are
taxed at a lower rate as compared to your regular income (your fixed source of
income). This is an advantageous prospect to consider over the other investment
options open around you.
It’s not as risky as they portray it
The bigger picture that most anti-stock investors forget is that the Indian stock
market is regulated by the Stock Exchange Board of India (SEBI). This implies that
the body has the authority to regulate the stock exchanges and protect the rights
of the investors in the market. As an investor in the stock market, your interests
will be protected by the official board, making it less risky. This also helps keep
fraudulent companies at bay or at least make them accountable to their investors.
You pay lesser tax
When you invest in stocks that provide dividend income or capital gains, you are
taxed at a lower rate as compared to your regular income (your fixed source of
income). This is an advantageous prospect to consider over the other investment
options open around you.
It’s not as risky as they portray it
The bigger picture that most anti-stock investors forget is that the Indian stock
market is regulated by the Stock Exchange Board of India (SEBI). This implies that
the body has the authority to regulate the stock exchanges and protect the rights
of the investors in the market. As an investor in the stock market, your interests
will be protected by the official board, making it less risky. This also helps keep
fraudulent companies at bay or at least make them accountable to their investors.
To summarize, stock investments come with their own risks and
benefits. Being calculative and having foresight can help you make
better decisions when you enter the stock market. However, reaching
out to stock market brokers or stock advisories can help you build
your portfolio in the right direction with minimized risk. Mumbai is home
to all big and small investors and finding stock market brokers and
advisors won’t be a task, you can search for them online too. But make
sure your advisory company understands your goals and you can trust
them.
Thank You
Visit: https
://www.ajmeraxchange.co.in/blogs/key-benefits-of-investing-in-the-stock-
market
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