Priyanshu Tiwari
by Priyanshu Tiwari
1 min read

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Myths about stock markets #

  • Investing is just like gambling.
  • Eventually, one day the market will crash and you will lose all your gains as well as the principal amount.
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Source: Google Finance
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Source: Google Finance
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Source: Google Finance
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Source: Google Finance
  • High risk equates to high profits.
  • Only meant for “experts” with “large” capital.

  • Stock that have skyrocketed must go down.
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Source: Google Finance
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Source: Google Finance

Until some serious bad news arrives.

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Source: Google Finance
  • Stocks that plummet must go up.
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Source: Google Finance
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Source: Google Finance

Dividend #

A dividend is a distribution of profits by a corporation to its shareholders.[1] When a corporation earns a profit or surplus, it is able to pay a proportion of the profit as a dividend to shareholders. Any amount not distributed is taken to be re-invested in the business (called retained earnings).1

Interest vs Dividend #

Interest Dividend
Mandatory Optional
Taxable Taxable
Calculated on principal amount Calculated on face-value

Circuit Order #

Upper circuit: Nobody is selling

Lower circuit: Nobody is buying

TL;DR #

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Source: r/IndianStreetBets