What is Stock market | Option trading | Mutual funds full explanation for beginners .
What is stock market ?
If you buy shares of a company, like XYZ, and that company makes a profit, you make a profit too. But if the company faces losses, you may also experience losses in your investment. It's like you're a part owner, and your financial outcome is linked to how well the company does in business.
What is Option trading ?
Sure! In options trading, you have two choices: a Call option and a Put option. If you buy a Call option at a certain price or above the current market value, you make a profit when the market goes up. On the other hand, if you buy a Put option, you profit when the market goes down.
What is Mutual funds ?
A mutual fund is like a group investment where many people pool their money to buy a mix of stocks, bonds, and other things. Experts handle these investments for everyone in the group. If you join, you get shares that represent your part of the investment. It's a good way for regular people to invest in different things without needing a lot of money. When the investment does well, everyone gets a share of the profit. But if it doesn't, losses are shared too, based on how much you invested.
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Content write by :- Down Tech
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