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Stock Related FAQs

What are shares?

A share in stock market context represents a unit of ownership in a company or financial asset which may entitle you to receive distribution of profits in the form of any dividends.

What is a stock market?

A Stock Market/Stock Exchange provide a platform whereby buyers and sellers of stocks can trade stocks and other securities. These exchanges are regulated by the local regulatory bodies.

What makes stock prices go up and down?

Multiple factors affect stock prices i.e. economic factors, company specific factors, political factors etc. Compilation of these factors creates a sentiment (i.e. bullish and bearish) against which investors in the market react. If there are more sellers than buyers, stock prices tend to fall and vice versa.

How can an investor benefit from investing in stocks?

Investment in the stock market has two fold benefits i.e. Capital Growth and Dividends. Capital Growth: When you sell a share for more than what you have paid for it results in capital gain for e.g. if you purchased a share for 2 Rs and sold it for 4 Rs than the difference of Rs2 is the capital gain.
Dividends: Cash entitlement paid to the shareholder from the profits of the company.

What are the risks associated with trading in stocks?

Risks such as volatility, credit risk, unexpected events and system failure are few risks associated with trading in stocks. Market Holiday Schedule Please refer to the following link and click on PSX and then Holiday Calendar:

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