What is Stock Market? What is IPO? How does stock market work?

Stock Market: What is it?

Stocks, which are shares of ownership in publicly traded companies, are bought and sold on the stock market. This market provides a great platform for companies to raise their capital by making their shares available to the public, as well as an avenue for investors to buy and sell those shares.

Let's look at some more important terms 

Initial Public Offer(IPO).

Initial public offerings (IPOs) are the first times a company sells shares to investors or listed in stock exchange. As soon as the shares are sold, individuals, institutional investors, and retailers can buy and sell them on the share market.

How does the stock market work?

The price of the stock keeps going up and down, But how? Supply and demand determines the price of the stock. If number of buyers are more than seller, then the price of shares will go up, and if number of seller are are more than buyers, then price will go down. The stock market functions on the price discovery concept, which states that the market determines the price of a stock based on its perceived value. The stock market can be volatile, with prices changing rapidly based on a variety of factors, company earnings reports, economic news, and investor sentiment. so It's very  important to do your own research and understand the market and risk before investing.