Stock Market History | What Happened In 1992 | Future Market
By: Makemy Finance
Tags: Investors, Investment, Stock Market, Scam, Money

A stock market is a market that will allow you to buy and sell a share in a public listed company. But the myth of Stock Market History started from the forefather. But till now lack of many Indians think that the stock market is Gambling (Satta). It is something like in the world has two kinds of people. One who has seen the Taj Mahal and the other who didn’t. that the same things happen with the investor. Who has seen the Taj Mahal they can tell better about the Taj Mahal. But who has never seen, how he will tell. He will spread the hearing knowledge.

Stock Market

Stock Market will give you a good return when you start with the right knowledge. The mistake of the people is that they spend their whole life on cynicism. In the mind of cynical people, the sky is always falling. And seeing others we always fall in doubt. I’m not smart, Furthermore, I’m not good enough. What if the economy got crash after I invest. What if I lose all money. We start taking the decision of friends, who will remind us of our shortcomings.

Decisions Over Stock Market History

Friends will say what you think. If it is a good idea then why everybody is not investing. It will never gonna work. You don’t know what you are talking about. Then you started to fall into doubt. So it is something like you are in the darkness of stock market knowledge. As the way, if we give you a ball in the darkness, you may say it is an apple. if I give you a worm, you may say it is a chow min. That’s the things it always happens with everybody when we will be in darkness. Moreover, One of the biggest things is required that is knowledge. Knowledge is such a light that will enlighten you and your family.

The great leader in this world is the reader. Without knowledge, you will never get success in the stock market. It doesn’t mean within one day, you will do everything. Slowly and steadily start learning and invest a small amount for your learning.

Why Fear On Stock Market

When the market goes up, some new investor enters in the market and start investing. And also they earn money. By seeing them few new investors also invest to earn a lot more money. As the market gets up they earn without any knowledge. It says that all the ships rise with new tides. By them, everybody come and started investing. As they start investing market got decline. They lose all the money and became negative. Spreading the message to everyone. I spend in the stock market, I got a huge loss.

compounding effect

It became a compounding effect of society. Which is a chain of networks with negativity. That’s a type of mindset people always tell, bad about the stock market. But instead of this if they invested for a long time. With proper knowledge, definitely, there will be a huge return

Stock Market History Cynic Mindset

They will always say the sky is falling but in reality, it never falls. If the market fall definitely it will go up. History has proven already. If it didn’t go up how the economy will move. People didn’t use common sense is that, is the economy will remain constant or it will be up-down. It is one of the biggest misconceptions of people. Doubts and Cynicism keep most of the people poor and playing it safe. The real world is waiting for you to get rich. Only a person’s doubt keeps them poor. Cynics criticize and winner analyses. Till now if you are in doubt clear it, it may take 2–3 months or 2–3 years. Don’t go for doom and gloom, there is chicken little yelling. Who doesn’t want you to become rich?

Understand The Stock Market History

Let’s understand only about BSE

BSE means Bombay Stock Exchange. It holds the top 30 largest companies in India, according to the market capitalization (Market Value).

Base Value of Bombay stock exchange was Rs 100 on Apr 1st, 1979

Within the return of 40 years from September 1979- September 2019 market gave the return of 16% an average.

Sept 1989- Sept 2019 Return 14% within 30 years.

Sept 1999-Sept 2019 return 11% within 20 years.

Sept 2009- Sept 2019 return 9% within 10 years.

Data Shows that if we do the long-term investment, definitely we will get a very return. If you use it for the short term then there are chances to lose money. For gaining a short return you can use trading which is very risky.

Reason Stock Market Up & Down

1.Business up and Down.

2.Stock represents the business if the business up then the market will be up.

3.Market will be depending on the profit of the business. If there will be profit then the market will be up, if there will be loss then the market will be down.

4.Profit will be depended on

# Future of the company

# Govt policy.

# Macro Economy & Micro Economy.

# Demographic

# Company Fundamentals.

# Sentiments of Human.

Data Analyse On Stock Market History

If we see the Indian Market from 1979 to Till 2021 we can see there is a huge difference. India is a developing country and economic growth country. If today the market is in 47,878 tomorrow it will be 60,000 also.

Till 2001

Harshad Mehta Scam On Stock Market History

In Apr 1979 the base value of Sensex was 100, till July 1990 the value reaches 1001. Then the market was growing up and up till 1992, value stands 4091 and SCAM Came that is Harshad Mehta Scam. The market was getting so much crazy that as like Rs 5 Product reach Rs 10. Understand whenever the market got crazy then there is a chance to crash the market.

Ketan Parekh Scam

In the same way, the market is getting up till October 1999 it reaches a value of 5000. Further moving ahead till Feb 2000, reach 6006. And another scam came that is Ketan Parekh Scam in 2001. Terrorist attack in the US. Which causes major losses to the global economy. Indeed the world economy is connected to each other. In Sept 2001 Value reach 3200. Where the market was in 6006.

Till 2019

In 2003- 2008, the market was in a bull run. Dotcom mania trend was there, value reaches 21000 and suddenly market crash. For every crash market required on sentiment and that was bubble blast.

Then 2008–2009 back another recission came, Subprime crises and Lehman brother scam. World business got disturbed. Till 2009 market value got declined and reached 8000.

From 2012 to 2013 market reach 18,000 then one new crisis came, that is eurozone debt crisis corruption on scandals. Then 2014 to 2019 stable government came and the market reached 40,000. The Indian economy was in the bull.

Suddenly the first coronavirus case found in Kerala on January 27, 2020. Slowly and steadily till April 24th, 2020 market reached 31,327. Slowly it was started to getting up in 2021 and then the 2nd wave of Covid-19 came. Toady in April 24th, 2021 market is 47,878.

Data is purely showing that the market is volatile, it will be up-down. It will be in a bull run or bear run. But definitely, it will revive. The economy will be in up, always be an optimist. That’s why it says that the stock market is a device for transferring impatience to the patient. Be fearful when others are greedy and be greedy when others are fearful.

Important For New Investor

# it is important what time you are entering the market.

# Important to choose the right stock, with proper analysis.

# Follow the stock and give time to select the stock.

# It may take 1–2years to know about the company & Do research then invest.

# Buy right seat tight.

Stock Market History Taught

1.Returns

If you are in the stock market to create wealth. so don’t go for the short term, you may get lost but if you are looking for the long term then definitely you will get the profit. Within one or two years you may get a very minimal return. In the stock market, some companies will give you a dividend also.

2.Risk, return, and time

The stock market follows risk, return, and time. Return is not in your hand but risk and time is your hand. If you do the proper research to make your portfolio. Then definitely there will be no loss. Risk management and time management are very important. So the best way is to educate yourself. The more you will educate on finance, the more you can gain profit.

3.Follow the Great Investor

Your life will become, what you read, whom you follow, which surrounding you live in. So always study about the famous investor. See their selecting strategy, how they choose the stock, and got the success. Read about famous investor likewise warren buffet, Charlie Munger, peter lynch, Rakesh Junjunwala, Radhakishan Damani, Ramadevo Agarwal, Dolly Khanna, Vijay Kedia, etc. Study their selecting strategy and develop your own strategy.

Note:

Identify sector, analyze, future outlook, make your own strategy and make your portfolio.

Conclusion

A stock market is a market that will allow you to buy and sell a share in a public listed company. But the myth of Stock Market History started from the forefather. But because of the lack of many Indians think that the stock market is Gambling (Satta). It will be gambling when you through something in-crowd and praying for that. It is not gambling when you will start with knowledge. Stock Market will give you a good return when you start with the right knowledge. Be away from speculators and cynicism. Read, understand and make your own way. Definitely stock market is a game, who can play it. He can earn it.