Pros:-
Return: Stock market gives a great return over a time to investor.
Benefits: Investing in stock market can offer several benefit likes potential to earn, dividend or average annual return.
Unexpected profits: Stock market are volatile , so we can't define how much profit will get, it may be one rupee to a hundred rupees also.
Risk management: We can also decrease our risk in investment by diversifying our portfolio.
Easy to trade: In stock market it is easy to buy and sell the stock just in a couple of clicks.
High returns: Stock market give about average annual return about approx 10% over the year.
Stockbroker: We can trade in stock market with good return by choosing the best stockbroker with less brokerage.
Investment Methods: We can trade in many ways like long term, short term, intraday as well as short sell also.
Profit during fall: We can get good profit in growing market as well as falling market also by short selling.
Limit: We can sell or buy our stock by any price due to limit option provided by almost all broker.
Trade options: Varieties of stock market also exist.like, equity, future, option, IPO, mutual fund etc.
Return diversify: We get almost about 1-10% return in equity market, but we get 10-90% in option market during a day.
Risk delay: If we were getting loss during intraday, then we also convert it into delivery, so that we will sell our stock at any time when we get profit. In such a way, we can reduce our risk.
Ownership: When we buy a stock of any company, that's means we are getting the ownership in the company.
Security: There having no issue regarding security, due to all transaction in stock market are regulated by SEBI(Security Exchange Board of India).
Start with small: We can start our investment in little amount also.
Trade profession: If you invest wisely, your stock may increase the value. That's why some people built our wealth only due to investment.
Regular income: The Best stock not only rise in value but also make a regular income.
Choice: We will be getting lots of choice in stock market for investment so that we can easily get the bullish stock.
Easy to access return: We can access our earned money quickly in friction of second.
Stop loss: We can also define our losses by setting stop loss.
Cons:-
Time-consuming: Stock market take time for research of good stock.
Control emotions: During market, our emotion get continuously fluctuating.
Wrost company: We can lose our entire capital if company doesn't perform well, and investor sell their stocks.
Long duration of back testing: It takes time for working or back testing of any new strategy of trading.
Should know: Debt, assets, balance sheet, past year performance etc. are the terminologies which we should study it carefully before investment. Thus it is time-consuming.
Greed & fear: If stock getting continously grow then investor acquire a greed and during market if stock getting continuously get fall investor fear can make it big lost. Thus, both should be under control in investor.
Random trade: If an investor trade randomly without any rule, regulation or strategy. Thus, this make a big loss to investor.
Company decision: If company takes a big decision thus this will also greatly affect the volatility of stock.
Undefined situation: Investor never know the situation of market after few seconds.
Consistence stock: Continuously trade in same stock also be risky because if any stock give good return that's not mean that it will always, give.
Wrost stockbroker: Choosing a wrost stockbroker may also affect our financial stability.
Stock limit: If we can't define our trading stock, and we do trade in any stock, this will also may loss of money due to no idea about the volatility of stock.
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