Stock Market 101: 5 Fundamental Concepts Every Beginner Should Know
Entering the stock market can feel like learning a new language. At its heart, a share is simply a unit of ownership in a company. When you buy one, you become a shareholder, potentially benefiting from the company's growth through price appreciation or dividends—a portion of profits paid out to you.
To succeed, you must understand two market "animals": the Bull Market, where prices are rising and optimism is high, and the Bear Market, characterized by falling prices and caution. The key to surviving both is diversification: spreading your money across different sectors so that one poor-performing stock doesn't sink your entire portfolio. Remember, the goal isn't to get rich overnight, but to grow wealth steadily over time through disciplined, long-term participation.
