More young investors are entering into the Indian stock market; are they matured enough to tackle the financial risks
The average age of investors on the share market brokering platform namely zerodha have dropped to 30. The co-founder of this platform Nikhil Kamath in an interview with ET Now said that we are experiencing a massive flow of young investors.
The development of mobile based trading platform, reduced interest rate on fixed deposits in banks have resulted in inflow of investors towards the share market. Now investors can easily open their demate account digitally on various trading platforms. Many of the platforms are providing free demate account service to attract the investors.
There is also a fact that the easiness of opening up the demate accounts has also attracted the low knowledge investors who often can be influenced by the share market frauds. Nikhil Kamath also advised the new investors that they should invest in largecap companies and should avoid investing in smallcaps and penny stocks. He also warned the investors that should stop trading or buying stocks based on the information provided by SMS tips and tricks.
I would also like suggest the new investors to inter into the market only after some basic knowledge about the mechanism of the market. If you are a new investors then you can also choose to invest in mutual funds.