What is a stock market?

Investing in equity is one of the important investments we make to generate inflation thrashing returns. This was the conclusion we drew from the previous chapter. having said that, How do we invest in Equity? Obviously before we delve into this topic, it is extremely important to understand the ecosystem in which equities operate. Just like the way we go to the neighborhood grocery store or super market for our daily purchases need, similarly we go to the stock market to buy (read as transact) for equity investment. Share market is the place where everyone wants to transact in shares. transact in simple words Means buying and selling. For all practical purposes, you cannot buy/sell shares of a public company like Infosys without transacting through stock exchanges. The main objective of the stock market is to help you facilitate your transactions. so if you a The stock market helps you meet the seller of a share, the buyer and vice versa. Now unlike supermarkets, the stock market does not exist in brick and mortar form. it is present in electronic form. You access and conduct the market electronically from your computer Your transactions (buying and selling of shares). regulator

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