LEARN STOCK MARKET IN 100 EASY POINTS

Introduction to the Stock Market

1. Definition: The stock market is a platform where buyers and sellers trade shares of publicly listed companies.

2. Purpose: It enables companies to raise capital by selling ownership (equity) to investors.

3. Securities: Stocks, bonds, and other financial instruments are traded in the stock market.

4. Exchanges: Stock markets operate on exchanges such as the New York Stock Exchange (NYSE) or NASDAQ.

5. Listed Companies: Only companies that meet specific criteria are listed on stock exchanges.

6. Initial Public Offering (IPO): When a company goes public, it offers its shares to the public for the first time.

7. Investors: Individuals, institutions, and traders buy and sell stocks.

8. Bull and Bear Markets: Bull markets reflect rising prices, while bear markets indicate falling prices.

9. Market Index: An index (e.g., S&P 500) tracks the performance of a group of stocks.

10. Market Capitalization: It's the total value of a company's outstanding shares.

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