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Beginner Module: Getting Started
1. What is the Stock Market?
The stock market is a marketplace where shares of publicly held companies are issued, bought, and sold. When you buy a "stock," you are essentially buying a small piece of ownership in that company.
2. How do you make money?
There are two primary ways to profit:
- Capital Appreciation: Selling a stock for more than you paid for it.
- Dividends: Receiving a portion of the company's earnings, usually paid out quarterly.
3. Key Terms to Know
Bull Market: When the market is trending upwards.
Bear Market: When the market is trending downwards.
NSE / BSE: Major stock exchanges in India.
Nifty 50: Index representing the top 50 companies on the NSE.
Pro Tip: Never invest more than you can afford to lose. The market involves risk, but with knowledge, that risk can be managed.
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