Most of us have a retirement plan for which we begin at a young age and the earlier we start, the more we get in returns and this is important since we all need an after retirement or plan for us so that we have enough wealth for all our needs, it is a great thing to plan for the future and one of the things you can do this is by investing. There are different kinds of investment methods that are regulated by the Sensitivity Index or the Sensex and Nifty through which there are changes in the positioning of the market.
What exactly is Sensex?
The Government of India with the RBI and SEBI have come up with an index that acts as a control for all the markets. This is called the Sensitivity Index or the Sensex and it consists of the top 30 companies from different sectors which are responsible to bring changes in the stock market. Nifty is also similar but it consists of Top 50 companies. The list of companies might change according to the financial state of the company and their positioning in the stock market. Tata and Reliance are one of the top companies which are a part of the Index and have a great impact on the Indian economy.
Let us now look at some of the advantages of investing in the stock market:
- Growth: when you have money and decide to save it, you can either keep it somewhere and forget about it and then come back to it when you need it or you can invest it in the stock market. now out of the two things, you will have profit in the latter one as in the stock market the money you will be investing is going to grow as the market changes and this is better than having the money you saved as it won’t double just by being somewhere. The stock market helps you gain money with profits and it is now easy to track the market with different applications available just one click away. 5paisa is one such place that is like a one-stop solution for all your financial needs.
- Stay ahead of inflation: Since inflation is unavoidable and as time passes by there is going to be a rise in the prices everywhere therefore with the help of the stock market you can get a track record of the inflation and this is important to understand the rate of return you will be getting from your investments. The rate of return should be higher than inflation.
- Hassle-free: Since now there are many digital platforms like 5paisa, investing in the stock market has become very simple and it is just one click away. You can get notified about all your investments and also work on trading even if you have a full-time job.
With the help of a 5paisa Demat account, you can have your trading done in a better way without any hassles and get the best profits always.