Say you have some extra money after bills, taxes and fees are paid, what can you do with it? Letting it sit in a savings account is one option, but there is a way to make otherwise idle money work for you. One of the most efficient ways to grow wealth is by investing in the stock market.

The stock market allows individuals to buy shares of publicly traded companies and so share in the profits and losses of said companies. If the company does well, the price of the shares will appreciate, which effectively means the investor has earned money on their initial investment. Of course, the reverse is true: the company's losses are felt by the investor.

Introduction to Stock Trading

So, as we discussed, the stock market allows users to buy and sell “shares” of publicly owned companies. But what does this mean exactly? A share is essentially a unit of ownership in a company that can be bought and traded through the stock market.

Through stock trading, investors are able to purchase what is effectively a stake in a company's financial gains and losses. If market conditions are favourable, the price of the stocks will rise and the investor can either keep their stocks or sell them at a profit. If the stock prices falter, investors can keep their stocks and hope the prices stabilise, or sell them at a loss and reinvest what’s left in another company.

For Indian Investors

Each country has their own stock market. In the United States, it is called the NYSE or New York Stock Exchange. India has its own equivalent; there are two platforms for Indian investors called BSE and NSE, which stand for Bombay Stock Exchange and National Stock Exchange, respectively. The NSE, founded in the 90s, is much larger, and its benchmark index is the Nifty 50. The BSE is smaller but was founded in 1875, making it Asia’s oldest stock market, and its benchmark index is called the SENSEX. Plenty more information can be found online by googling something along the lines of ‘trading India,’ one can find out about the BSE’s rich history and much more.

We talked about the Nifty 50 and Sensex, but what they actually are is a benchmark index, which is, in essence, a group of stocks that is used to track the performance of the market as a whole.

The Indian investor is now easily able to invest in these benchmarks through what one might call ‘trading app India.’ What are these apps? Let’s discuss.

Where once investing in the stock market required phone calls to the stock exchange, we are now seeing the rise of what some call ‘stock market apps’ that allow users to buy, sell and trade and perform all the functions of the stock market right from their mobile phones.

Furthermore, several of these apps cater specifically to the Indian investor and to the Indian stock market. They can be found online quite easily. One only needs to open their app store or search engine and type in something along the lines of ‘stocks investment app’

These apps have made much of the share trading process much more accessible to the everyday man.

Conclusion

At the end of the day, stock trading is not about quick wins or sudden profits. It is about understanding how the market works and making decisions with some thought behind them. Trading is a game of patience and calm observance with the tools available today, especially mobile apps. It is now much easier to have our money grow.