The following article is an initiative of NSE FinWiz and is intended to create awareness among readers
India has one of the youngest population in the world. Many of them are keen to invest in shares and stocks, however, they do not know where to start from. We have tried to put in place a beginners guide on how to invest in equity for beginners.
Let’s start by talking about demanding fair treatment for all shareholders. A good company always demands to have someone you can trust and who shall be in control. Please be mindful that companies are always not about assets, they are about people. A business is worthless without high-quality people. Keeping the balance sheets in place is critical. Companies often fail because they are weakly financed. Moving on, always do your own analysis and understand what you are buying. If something looks too good to be true, it might call for trouble. Just walk away if an investment does not make sense. Also, think long term. Always do your own analysis and understand what you are buying. If something looks too good to be true, it might call for trouble. Just walk away if an investment does not make sense. And finally, make sure that competitive advantage is sustainable. Some businesses produce more profit than others. But, this will be of no value at all if its advantage cannot be sustained. Understanding these rules will help you invest with confidence.