Why you should Invest your money in stocks?

Stock market gives you opportunity to be a part of something big ! Many people considers stock market as gambling I will neither agree nor disagree with them... Because if you put your money in stocks after doing your study on the company then it's investing and if you put your money in stocks after listening to some expert or just because your colleagues/friends brought it then I'll say it's pure gambling.

Now I'll come to this question, why you should buy stock? So below are the some reasons

1.High Returns

Yes stocks do give high returns then FD, Savings Account. Historically the NIFTY Index has given a return of 17% and they are quite safe too if you invest for long term after doing your homework. So choose wisely.

2.High Liquidity

Nowadays stock exchanges provides high Liquidity so in case if you change your mind then you can easily sell your stocks by tip of your fingers!

3.Creates wealth

Many great people says that stock trading is for generating capital and investing is for creating Wealth !When i say trading then I mean Swing trading not intraday because Intraday trading is the quickest way to financial Suicide.Some examples who build wealth through investing are Warren Buffett, Rakesh jhunjhunwala and Charlie munger etc.

4.Dividends

If you have brought some stock of a company and that company gains profits...then they have options two options (A) They can use that profit in the growth of the company which most companies do and (B) They can share this profits with investors in the form of dividends.

Some companies give dividends and some don't it's totally up to them!

5.Sorce of income

See the thing is like, in this 21 century you can't be dependent on one source of income, you have to create many sources of income in order to live a peaceful and Financially free life. So for that purpose stocks for long term is best.

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Top 4 Tax saving investments

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The 50 30 20 Rule

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Risks Management in stock market !

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