Understanding Securities Markets and Investment Opportunities

Abstract

To earn a good living and create wealth for himself or herself is the aim of every individual. Whereas a large number of people undertake some form of employment in corporate or government sectors or in other organizations, others enter into professions, are self-employed or start their own ventures to earn their living and create wealth. Every individual is interested in becoming rich. Individuals who save money keep on searching for opportunities to invest in and accumulate great amounts of wealth. Some invest in gold, silver and other commodities, whereas others invest in financial securities. There is a risk-return relationship in all investment opportunities. High-risk investment opportunities off er the possibility of earning high returns. On the other hand, low-risk investment opportunities offer fixed low returns. Everyone seeks and uses investment opportunities as per their risk profile. Shares and shares linked securities are considered high-risk securities, and they offer high returns also. One can invest in shares by subscribing to the shares offered by companies directly or, alternatively, by purchasing them from stock markets.