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What is a share market and how
it is work?
A share market is a market where stocks or other securities are traded
between investors. The share market can be used to raise funds for
businesses, and it can also be used by investors to make money.
There are two types of share markets: primary markets and
secondary markets.
In the primary market, shares are issued by businesses to the public
for the first time. In the secondary market, shares are bought and sold
between investors. The prices of shares in the secondary market are
determined by supply and demand.
The share market can be a complex place, but it doesn’t have to be.
This article will explain what the share market is and how it
works? as well as provide some tips for beginners.
Topics of Content:
1. Introduction
2. What is the share market in simple words?
3. What does it mean to buy a share?
4. How to invest in the share market?
5. Conclusion
6. FAQs
What is shares market in simple words?
As you know share means to share, a small part. Now you must be
thinking that part of what? Friends, let us understand this with a small

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example. Suppose Mr. X started a business and took it forward with
great effort, after a year Mr. X's business became profitable and now
dies. X wants to expand his business to other states; he wants to
expand his business. Mr. X calculated that he would need around Rs 1
crore to expand his business, now Mr. X has two ways, either he can
take a loan of 1 crore from any bank or he can collect 1 crore rupees
by selling some part of his company in the stock market. Die. X
decided that he would collect money by selling some part of his
company in the stock market. Mr. X made 10 crore equal parts of his
company and kept the price of each part at 1, out of the total 10 crore
parts Mr. X sold 1 crore parts at the rate of 1 part per share on the
stock market. Friends, we call these small parts shares. People buy
and sell these small parts.
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What does it mean to buy a share?
The share of any company is a small part of that company that is why it
is called a share of the company. If you buy shares of ABC Company
then you become the owner of a small part of ABC Company, and you
will become the owner of more shares than you buy in ABC Company.
So we know that shares are nothing but a part of a company. Buying
shares means becoming the owner of a small part of a company.
How to invest in share market?
To buy shares, you have to open a Demat account, if you don't know
about Demat Account then you can read about it from the given link.

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You can get a Demat account opened from any broker or nowadays
there are many online options available from where you can open a
Demat account. To open a Demat account; you must have a PAN card,
address proof, bank account.
Conclusion
This was our today's article in which we learned three things, the first
share is a small part of the company, after buying the second share
you become the owner of a small part of that company, and thirdly you
have to open a Demat account to buy shares. It was If you like this
article then please share and don't forget to subscribe to our website.
DISCLAIMER: This is an Education Program and is NOT registered
under any SEBI rules. All the information we provide is for educational
purposes only and you should consult your financial advisor before
making any investment decision. Also, WE DO NOT PROVIDE any
kind of Stock Advice or Stock Advice or Portfolios.
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